CBDT notifies Income Tax Cost Inflation Index for Financial Year 2020-21 or Assessment Year 2021-22 vide Notification No. 32/2020-Income Tax dated 12th June 2020 at 301. Cost Inflation Index helps taxpayer calculation his Long Term Capital Gain on sale of Long Term Capital Assets.
Also Read-Cost Inflation Index – Meaning & Index from 1981-82 to 2020-21
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 32/2020-Income Tax
Dated: 12th June, 2020
S.O. 1879(E).—In exercise of the powers conferred by clause (v) of the Explanation to section 48 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), Central Board of Direct Taxes, published in the Gazette of India, Extraordinary, vide number S.O. 1790(E), dated the 5th June, 2017, namely:‑
2. In the said notification, in the Table, after serial number 19, the following serial number and entries relating thereto, shall be inserted, namely:—
|Sl. No.||Financial Year||Cost Inflation Index|
3. This notification shall come into force with effect from 1st day of April, 2021 and shall accordingly apply to the assessment year 2021-22 and subsequent years.
[Notification No. 32/2020/F.No. 370142/17/2020-TPL]
ANKIT JAIN, Under Secy. (Tax Policy and Legislation)
Note:- The principal notification was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii), vide number S.O. 1790(E), dated the 5th June, 2017 and last amended by the notification number S.0.3266 (E), dated the 12th September,2019.