No, unlike Income Tax Act 1961, the new Direct Tax Code 2010 , likely to be effective from 01/04/2012 , does not prescribe any special tax rate. Now the long term or short term are part of total income and is taxed at the normal tax rate applicable to you. Note following points regarding taxation of capital gains.
1. Every asset which held for more than a year is long term. If less than one year, it is short term.
2. Long term gains on equity shares or mutual fund units on which STT is deducted are tax free as 100 % deduction is allowed. For knowing more . read this.
3. Short term gains on equity shares or mutual fund units on which STT is deducted are taxed at 50 % of the STCG . For knowing more . read this.
4. Loss on long term gains on quity shares or mutual fund units on which STT is deducted is not allowed to be adjusted with any other income.
5. Loss on short term gains on quity shares or mutual fund units on which STT is deducted is allowed to be adjusted upto the extent of 50% with the head capital gains only and not with income under any other head . If not adjusted , the loss can be carried forward.
6. Any other capital gains , whether Long Term or Short Term , is added to total income and shall be taxed at normal tax rate applicable to that person.
