How are profits on shares taxed?

For the income generated in the year 2007-08 In India there are two ways in which the profits on listed shares in registered stock exchanges are taxed based on whether the shares are long term or short term. 

Short term shares are those which are bought and sold within a period of less than an year. Which means a if you buy a stock at Nov 08 2007 and sell it within a one year period whatever profit you make would be taxable as short term capital gains. The tax on such profit would be 10%. 

On the other hand if your share is a long term one then there is no tax at all. So if you buy a share on Nov 08 2007 and sell it after Nov 08 2008 and make a profit on your sale there is no tax that has to be paid on your profit. 

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