I bought 320 LUCK stocks before the 1:5 stock split at Rs.1,550.00/share. Post split, I ended up with 1600 shares which I sold at Rs. 337/share. My gross profit comes down to be Rs. 43,200. However, I was taxed (CGT) Rs. 54,088 which made me end up loss.

When I sold them, 320 shares were not taxed since they were sold at a lesser value (due to stock split). However, the remaining 1,280 shares were taxed considering they were purchased at zero value. i.e, CGT wasn't calculated on the actual gain but the total value of those shares. How is this fair?

This is what ChatGPT concluded:

✅ Conclusion

• Since you only held 320 shares of LUCK but sold 1,600, NCCPL treats the excess 1,280 shares as unmatched.
• For unmatched, entire sale value is taxable as gain.
• Hence, CGT was applied on those unmatched trades only, totaling Rs. 54,088.50.