What is the capital gain liability for the profits made by way of sale of ESPP/RSU shares of foreign company. The stocks are traded on NYSE.

1) what is the % tax liability if the shares are sold before 1yr

2) what is the % tax liability if the shares are sold after 1yr.

@ukapil: for resident Indians, sale of ESPP is treated as capital gains. The tax % will depend upon the holding period. In case of short-term capital gains, the tax rate is 15% and for long-term capital gains, the tax rate is NIL. In case of short-term capital gains, the differential price in ESPP and market price of the shares will be added as perquisite.

@priyac21: What you have told is for India traded shares. My question clearly asks for ESPP/RSU shares traded in NYSE. Note that we do not pay STT on such sale.

For resident Indians, the tax treatment is same for ESOP and ESPPs. However, the TDS on perquisite will be deducted by the employer and the same will reflect in your form 16. For all exchange traded shares, securities tax will be deducted. You may get in touch with your empoyer HR department for confirmation on the same.

@priayc21: Interesting. This is a new thing that i am hearing now. STT deducted on shares traded on NYSE ?