---
title: "Tax Loss Harvesting Calculator India | RupeeCase"
description: "Tax loss harvesting calculator: set short and long term losses against realised equity gains under the set off rules and see the tax saved, net of costs."
source_url: "https://www.rupeecase.com/learn/tools/tax-loss-harvesting-calculator"
---

Tax saved**₹22,250**
Tax before harvesting**₹61,875**
Tax after harvesting**₹39,625**
Cost of selling and buying back**₹1,000**
Net benefit**₹21,250**
Loss left to carry forward**₹0**

Short term losses offset short term gains first, then long term gains; long term losses offset only long term gains. Cess and surcharge not included.
      Share this resultReset

  01How it works

## In plain words.
A short term capital loss can be set off against short term and long term gains; a long term loss only against long term gains. The calculator uses short term losses on the 20% gains first, then on the 12.5% gains, then long term losses, and applies the Rs 1.25 lakh exemption last. Selling and buying back costs STT, brokerage and charges, so the net benefit subtracts them.

    The formula

`STCL: first against STCG, then against LTCG``LTCL: only against LTCG``Tax = 20% x STCG left + 12.5% x max(0, LTCG left - 1,25,000)``Net benefit = tax before - tax after - trading cost`

  02Worked example

## The default numbers, by hand.
Rs 2 lakh STCG and Rs 3 lakh LTCG: tax Rs 61,875. Booking Rs 80,000 of short term and Rs 50,000 of long term losses: tax Rs 39,625, a saving of Rs 22,250, minus Rs 1,000 of trading cost.

| Input | Value |
| --- | --- |
| Short term gains realised (STCG) | ₹2,00,000 |
| Long term gains realised (LTCG) | ₹3,00,000 |
| Short term losses you could book | ₹80,000 |
| Long term losses you could book | ₹50,000 |
| Market value of the positions sold | ₹4,00,000 |
| Cost to sell and buy back | 0.25% |

| Result | Value |
| --- | --- |
| Tax saved | ₹22,250 |
| Tax before harvesting | ₹61,875 |
| Tax after harvesting | ₹39,625 |
| Cost of selling and buying back | ₹1,000 |
| Net benefit | ₹21,250 |
| Loss left to carry forward | ₹0 |

  03Key concepts

## What to know before you use it.

### Carry forward
Losses not used this year can be carried forward for eight assessment years, provided the return is filed by its due date.

### Buying back
Buying the same shares back resets the cost and the holding period. Module 11.3 covers the trade offs and the questions to discuss with a CA.

### Good to know

* Losses are booked at the price on the day sold; the market can move before the buy back.
* Short term losses are more flexible than long term losses because they offset both kinds of gain.

  04Assumptions

## What the calculator assumes.

* Listed equity with STT paid; rules for transfers on or after 23 Jul 2024.
* No cess or surcharge; no other capital gains or losses this year.
* Education only; not tax advice.

    Sources, checked 12 Oct 2026

1. [Income Tax Department, tax on capital gains (listed equity: 12.5% LTCG above Rs 1.25 lakh, 20% STCG, from 23 Jul 2024)](https://incometaxindia.gov.in/Pages/tools/capital-gain-calculator.aspx)

  05Questions

## Asked about the Tax loss harvesting.
Can short term loss be set off against long term gain?Yes. A short term capital loss can be set off against both short term and long term capital gains.

Can long term loss be set off against short term gain?No. A long term capital loss can be set off only against long term capital gains.

How long can capital losses be carried forward?Eight assessment years, if the return of the year of the loss is filed on time.

    Explore next

## Learn the idea behind the numbers.

* [Blog noteThe Rs 1.25 lakh you forget every AprilPersonal finance and tax, a short note](/blog/2026-07-18-evening-tax-free-allowance/)
* [Free module 11.3Tax-Loss Harvesting for Systematic Investors11 min read](/learn/path-11/module-11-3-tax-loss-harvesting-for-systematic-investors)
* [Free module 11.5AIS, TIS & ITR: Reconciling Your Capital Gains8 min read](/learn/path-11/module-11-5-ais-tis-and-itr-reconciling-your-capital-gains)
* [StrategyLarge Mid Hybrid strategyNifty LargeMidCap 250, 41 stocks, every 2 weeks](/strategies/large-mid-hybrid)
* [Free module 11.6Tax-Efficient Portfolio Construction8 min read](/learn/path-11/module-11-6-tax-efficient-portfolio-construction)
* [CalculatorLTCG and STCG on equityFree, with the formula and a worked example](/learn/tools/capital-gains-tax-calculator)

      Community

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06Keep going

## Learn the idea, see it applied.

  [Module 11.3Tax-Loss Harvesting for Systematic Investors11 min read, Path 11](/learn/path-11/module-11-3-tax-loss-harvesting-for-systematic-investors)[Module 11.5AIS, TIS & ITR: Reconciling Your Capital Gains8 min read, Path 11](/learn/path-11/module-11-5-ais-tis-and-itr-reconciling-your-capital-gains)[Module 11.6Tax-Efficient Portfolio Construction8 min read, Path 11](/learn/path-11/module-11-6-tax-efficient-portfolio-construction)[The matching indexLarge Mid Hybrid40 equity stocks plus 20% LiquidCase. 80/20 equity-plus-debt on the LargeMidCap 250.CAGR33.2%Sharpe1.67Max DD−18.3%Model, back tested, as of 27 Apr 2026. Not client returns, not a promise. Risk band: Moderate.](/strategies/large-mid-hybrid)

  More tax calculators

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  Education only, not investment advice. RupeeCase is a technology platform operated by QC Alpha Technologies Pvt Ltd; it is not a fund, a PMS or a SEBI registered investment adviser. Model returns are back tested and not a promise of future returns. Figures carry the date they were checked.