Income Tax Portal Update Denies Rebate for Short-Term Capital Gains

The Income Tax Department's portal has been updated, resulting in the denial of rebate claims for short-term capital gains (STCG). Previously, taxpayers could claim a rebate under Section 87A if their total income did not exceed INR 5 lakh. However, the updated portal now restricts this rebate, excluding STCG from the qualifying income. This change has caused confusion among taxpayers who were previously eligible for the rebate on their total income, including STCG. The update is seen as a significant shift in tax computation, impacting many taxpayers and professionals who need to adjust their filings accordingly.