STCG is calculated by subtracting the cost of acquisition and any expenses directly related to the sale (e.g., brokerage fees) from the sale price of the asset. This calculation ensures that only the net gain is taxed. For example, if you sold shares for Rs. 1,00,000, and the cost of acquisition was Rs. 70,000 with Rs. 2,000 in brokerage fees, the STCG would be Rs. 28,000 (Rs. 1,00,000 – Rs. 70,000 – Rs. 2,000). Now, after the announcements made in the Union Budget 2024, this STCG will be taxed at 20%.