Capital gains indexation cannot begin from an arbitrary later year: ITAT Surat

Advertisement Adil Noshirvan Shethna Vs ITO (ITAT Surat) Income Tax Appellate Tribunal, Surat Bench decided an appeal arising from an order of the Commissioner of Income Tax (Appeals), Surat for Assessment Year 2005–06 concerning computation of long-term capital gains on sale of immovable property. The assessee sold a property in which he held a one-fourth share for ₹22,79,776, while the stamp valuation authority valued the property at ₹68,38,000. During assessment, the Assessing Officer computed long-term capital gains by adopting the indexed cost of acquisition from the year 1996–...