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Yes, indexation is allowed on unlisted shares on long term capital gains.
Long-term capital gains are taxable at a rate of 20% on unlisted shares sold after a holding period of 24 months. Unlisted shares are ideally intended for long-term investment. Since the holding period is long, the indexation benefit is allowed to adjust the purchase price for the effects of inflation over the years to ensure fair taxation.
Topic: Unlisted Shares Feedback
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