How does the demerger of Reliance Industries into Jio Financial impact the calculation of capital gains?

Modified on Fri, 29 Mar 2024 at 04:50 PM


In this tutorial, we will explain how you can compute capital gains accurately considering corporate actions in MProfit.


Follow the steps below:


Step 1: Login to your MProfit account and select the asset.


Here, we have taken Reliance Industries as an example.

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Step 2: In the next window, keep the Period as All To Date from the drop-down list.
 

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Step 3:
 Purchase of Shares

  • Bought a hundred shares at a price of 100 rupees per share.

  • Total purchase amount: 10,000 rupees.

Demerger

  • On July 20, 2023, Reliance Industries was demerged into Jio Financial Services.

  • Ratio: One share of Reliance Industries to one share of Jio Financial Services.

  • Cost allocation ratio: 95.32% for Reliance Industries and 4.68% for Jio Financial Services.

Selling Shares

  • On March 14, 2024, sold all hundred shares at the price of two hundred rupees per share.

  • Adjusted purchase price per share: 95.32 rupees (due to the demerger).

Cross-Checking

  • Verify the selling price (200 rupees) and the adjusted purchase price (95.32 rupees) for accuracy.

  • Access the Reports section located at the top right side for verification.

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Step 4: Select Capital Gains


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Step 5: Next, select Capital Gains-ITR Format.
 

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Step 6: Click Stocks.
 

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Step 7: Click Generate Report.


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This is how the demerger of Reliance Industries into Jio Financial impact the calculation of capital gains.



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