The taxes implied on your Pre-IPO/ unlisted equity investments depending on the holding’s timeline. If you hold your unlisted equity share for more than two years, then it will be termed as long-term capital assets, or else your unlisted equity shares will be termed as short-term capital assets. The unlisted investments categorized under long-term capital gain (LTCG) are taxable at 20% of LTCG and provided with indexation benefits. On the other hand, unlisted equity shares categorized under short-term capital gain are taxed in accordance with the slab rate applicable to the respective investors.