n NISM Certifications
X NISM Series X
Medium

What is the nature of gains from the sale of unlisted bonds held for over 40 months?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Long-term capital gains at slab rates

  2. B

    Long-term capital gains with indexation

  3. C

    Short-term capital gains with indexation

  4. Short-term capital gains at slab rates

    Correct answer

Why this is the answer

Gains from unlisted bonds are taxed as short-term capital gains regardless of holding period, at the taxpayer’s slab rate.

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