Short-term Capital Gains (STCG): If you redeem your ELSS units before the completion of one year, the resulting gains are considered short-term capital gains. These gains are taxed at a flat rate of 15%.

Long-term Capital Gains (LTCG): If you redeem your ELSS units after one year, the gains qualify as long-term capital gains. As of now, LTCG on equity funds, including ELSS, exceeding Rs. 1 lakh in a financial year are taxed at 10%, without the benefit of indexation.