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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.
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Topic: Unlisted Shares Feedback
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