Article discusses Meaning of Cost Inflation Index (CII) which is used for Computation of Long Term Capital Gain. Cost Inflation index are Notified by CBDT every year and till date CBDT has notified Cost Inflation Index for the Financial Year 1981-82 to Financial year 2023-24. Cost Inflation index are used for computing indexed cost of acquisition.

What is Cost Inflation Index (CII)?

It is a measure of inflation that finds application in tax law, when computing long-term capital gains on sale of assets. Section 48 of the Income-Tax Act defines the index as what is notified by the Central Government every year, having regard to 75 per cent of average rise in the consumer price index (CPI) for urban non-manual employees for the immediately preceding previous year. Therefore, if we consider that price of a capital asset has risen in tandem with base price rise, then if one want to sell an asset and replace it, the cost allowed even after indexation will be lesser than the price payable for new asset. However, in case of many capital asset the price rise is lesser than market price and in many cases it is higher.

How does Cost Inflation Index (CII) help in capital gains computation? Capital gain, as you know, arises when the net sale consideration of a capital asset is more than the cost. Since “cost of acquisition” is historical, the concept of indexed cost allows the taxpayer to factor in the impact of inflation on cost. Consequently, a lower amount of capital gains gets to be taxed than if historical cost had been considered in the computations.

Formula for computing indexed cost is (Index for the year of sale/ Index in the year of acquisition) x cost.

For example, if a property purchased in 1991-92 for Rs 20 lakh were to be sold  in A.Y. 2009 -10 for Rs 80 lakh, indexed cost = (582/199) x 20 = Rs 58.49 lakh. And the long-term capital gains would be Rs 21.51, that is Rs 80 lakh minus Rs 58.49 lakh.

Cost Inflation Index:- Cost inflation index (CII) as notified by Central Government alongwith analysis of the same is as under:

Cost Inflation Index  As Applicable  From  Financial Year 1981-82 To Financial Year  2016-17

FINANCIAL YEAR COST INFLATION INDEX Increase in CII and 75% of percentage of real inflation allowed Real inflation % of CII Increase allowed / 3 X 4
1981-1982 100
1982-1983 109 9 = 9% 12%
1983-1984 116 7= 6.422 8.56%
1984-1985 125 9=7.7586 10.34%
1985-1986 133 8=6.4 8.53%
1986-1987 140 7=5.263 7.02%
1987-1988 150 10=7.1428% 9.52%
1988-1989 161 11=7.333% 9.78%
1989-1990 172 11=6.8323% 9.11%
1990-1991 182 10=5.8139% 7.75%
1991-1992 199 17=9.340% 12.45%
1992-1993 223 24=12.060% 16.08%
1993-1994 244 21=9.4170% 12.56%
1994-1995 259 15=6.1475% 8.20%
1995-1996 281 22=8.494% 11.33%
1996-1997 305 24=8.5409% 11.39%
1997-1998 331 26=7.8549% 10.47%
1998-1999 351 20=6.0423% 8.06%
1999-2000 389 38=10.826% 14.44%
2000-2001 406 17=4.370% 5.83%
2001-2002 426 20=4.926% 6.57%
2002-2003 447 21=4.93% 6.57%
2003-2004 463 16=3.58% 4.77%
2004-2005 480 17=3.67% 4.90%
2005-2006 497 17=3.54% 4.72%
2006-2007 519 22=4.43% 5.90%
2007-2008 551 32=6.17% 8.22%
2008-2009 582 31=5.62% 7.50%
2009-2010 632 50=8.60% 11.46%
2010-2011 711 79=12.36% 16.49%
2011-2012 785 74=10.41% 13.88%
2012-2013 852 67 = 8.54% 11.38%
2013-2014 939 87 =10.21% 13.62%
2014-2015 1024 85 = 9.05% 12.07%
2015-2016 1081 57 = 5.57% 7.42%
2016-2017 1125 44 = 4.07% 5.43%
ON OR AFTER 01.04.2017

Cost Inflation Index from Financial Year 2001-02 to Financial Year 2022-23

In order to revise the base year for computation of capital gains, section 55 of the Income Tax Act, 1961 was amended vide Finance Act, 2017 so as to provide that the cost of acquisition of an asset acquired before 01.04.2001 shall be allowed to be taken as fair market value as on 1st April, 2001 and the cost of improvement shall include only those capital expenses which are incurred after 01.04.2001.  Cost inflation index for Long Term Capital Assets sold after 01.04.2017  as notified by CBDT Notification No. 44/2017 dated 05.06.2017

SI. No. Financial Year Cost Inflation Index
(1) (2) (3)
1 2001-02 100
2 2002-03 105
3 2003-04 109
4 2004-05 113
5 2005-06 117
6 2006-07 122
7 2007-08 129
8 2008-09 137
9 2009-10 148
10 2010-11 167
11 2011-12 184
12 2012-13 200
13 2013-14 220
14 2014-15 240
15 2015-16 254
16 2016-17 264
17 2017-18 272
18 2018-19 280
19 2019-20 289
20 2020-21 301
21 2021-22 317
22 2022-23 331
23 2023-24 331

Last Updated on 11.04.2023

(Republished with Amendment, Source -Income Tax Website)

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More Under Income Tax


  1. Anil G says:

    My Father Purchase Property in 1979 @ 10000/- and wish to sell in this year Sept 2023 @ 2000000/-. How to calculate Capital Gain on this. Please guide me. Thanks

  2. Shankar says:

    A friend of mine, who holds an NRI, owns an apartment in Bangalore and is considering selling it. Here’s some background:

    He initially booked the under-construction apartment on 09-10-2014 for a value of INR 83,13,838.00. This value was broken down into a Construction Agreement Value of INR 36,18,400 and a Sale Agreement Value of INR 37,84,000, both of which were provided by the builder in a letterhead. The home loan for the apartment was obtained from LIC HFL.

    The apartment’s sale deed was officially registered on 29-05-2015, with a consideration value of INR 36,00,000. Interior work was completed on 30/07/2015, incurring a cost of INR 609,542.25.

    Looking ahead to 2024, he’s contemplating selling the apartment at INR 1,20,00,000.

    Now, onto the questions:

    While applying for a lower tax deduction with the Income Tax department through a CA, can the total value of INR 83,13,838.00 be considered? This includes the builder’s cost confirmation letter and the cost of improvements at INR 609,542.25.
    Are there any other strategies to potentially reduce tax liabilities?

  3. Prashant Naik says:

    My father purchased a flat in 1998 at 659100 and in 2023 july we sold the flat at 6700000. How much money i have to invest in REC bond to save the tax.

  4. Unknown says:

    hi tax guru,
    my father bought a house on a 388sqyd plot at Rs 50,000 in 1980 and now he is selling it at Rs4.35cr in 2023.Can you let us know how much will be the capital gains on which he has to pay tax. And also how many properties can he purchase to save tax.

  5. Devendu Trivedi says:

    My Father Purchase Property in 1963 @ 35000/- and about to sell in this year June 2023 @ 7000000/-. How to calculate Capital Gain on Property. Please guide me soon

  6. Y.K. THAKUR says:


  7. ramesh says:

    building purchased 10610000 in fy 218-19 and sold 15000000 in 2023-24 how much tax will be pay and how to tax relaxation

  8. Ashok says:

    Re CII and cap gains /-request your advise
    I purchased residential land in 1980 for around 25000rs , which land cost was to be paid on 6 yrly instalments – till 1986 so made full payment in instalments till 1986
    Between 1986 and 2001 there were more payments made due to increase in cost and . Extension fees for delayed house construction – total paid Rs 4 L
    Between 2001 to 2007 paid further addl costs due to late / penalty Rs 4.5 L
    Also did construction of 20% and spent Rs. 8 lac in 2007/8 on construction.
    So total costs from 2001 to 2007
    On penalties/ extensions 4.5 L
    And construction on 2007/8 Rs 8 Lac
    Advise needed- how do I work out the capital gains now in 2023 ??

  9. Krishan kanwat says:

    Whether in the gifted property purchased prior to 2001 the donee who got the property in the year 2014 would get benefit of indexed cost from the year 2001 to the year of sale in 2022

  10. sandeep Dubey says:

    Plot purchased and constructed residential house as well as nursing home in the said plot in 1970 in Dhanbad, Jharkhand by father and inherited the property to daughters. Now duaghter sold the property in 2023 for Rs 1 Cr. further planning to purchase plot/house in urban area.
    How to calculate cost of aquisition for the year 1970? (No proof available for purchase price)
    How to calculate capital gain ans tax on the same?

  11. NITIN GARG says:

    my father purchase a land in 1989 for 35000 rupees and construct half floor in 1990, again reconstruct G+1 in 1994 and renovate in 2013. I proposed to sale it for 4900000. please provide capital gain on it.

  12. Jagannath D Chavan says:

    Dear Sir,
    I had purchased one flat property for Rs 88700/- on 14/08/1986 in Pune city Maharashtra. The said flat sold for Rs 25 lacs on 30/01/2023. what is CII index for FY 2022-2023. And how much will be the capital gain on the said flat situated in pune city. regards

  13. K Alagarsamy says:

    My wife has purchased a landed property in 1996 for Rs. 76000 including stamp duty and connected expenses. After which we have incurred an amount of Rs. 25000 towards land improvement and fencing in 2014. We have sold the property for Rs.15,00,000 on 04.01.2023 and incurred an expenses of Rs.23000 towards brokerage and expenses connected with agreement to sell. Can you please inform us the Long term Capital gain and tax liability. Thanks.

  14. ajay says:

    I had purchase a house in 2005 for Rs. 4 Lac. In 2011, I had constructed another 2 floors and invested approx. 8 Lac. At present, I do not have any paper/proof for renovation cost. Now, I want to sale my house which shall be approx. 40 Lac.
    How can I calculate tax amount. I want to purchase a plot by investing Rs. 20 Lac within 12 months.
    Please suggest to save LTCG.

  15. V. K. Mehra says:

    Dear Sir,


    I got Rs. 27,66,666.00 on 06.10.2022 from the sale of land of Nala Bazar, Ajmer (Rajasthan – India) after the death of my father.
    Please oblige me by guiding tax liability on this amount.
    I am a pensioner of LIC of India & getting pension of Rs.42,000/- pm.

    Thanx & so very nice of you.

    V. K. Mehra

    1. Shristi says:

      Dear Mehra sir,
      kindly give the following details for calculating your Capital gains:
      1.Cost of acquisition of that land paid by your father and also year of acquisition
      2.Any other costs incurred for improving that land, also the year of incurring such improvement expenses
      3. Any realization expenses incurred by you while selling that land ( for eg. brokerage expenses etc)

  16. Avinash says:

    I purchased flat in 2012 – 13for sale consideration of₹ 2270559 & sale deed was executed in September, 2017 after getting possession of the flat in March, 2017. I paid stamp duty of 150800 & court fee of 20120 & value of property is shown as 3014000 at that time. I sold the said flat in October, 2022 for 4000000.what will be the capital gain tax.

  17. Venkateswaran Iyer says:

    How can the purchase price of 1992-93 (Index of 223) be taken as value as on 1-1-2001 when as per the Govt’s published CII showed the index as 406, because that would result in reducing the indexed cost in the year of sale (say 2022-23) when the index is only 331 w.r.t 100 in 2001. One may go to a valuer and get FMV as on 1-1-2001, but there should be a scheme for indexing the 1992 cost to 2001 (406/223) and adopt that figure as base cost for computing indexed cost as per new table in the interest of equity

    1. vswami says:

      Yes; appreciate that you have quite rightly hit at the root of the ongoing controversy, impudently or otherwise, and allowed to be perpetuated for long now! For MORE, look up the earlier posted Comments; and also the update very recently posted elsewhere herein-if not done so by now!

  18. Arokiaraj says:

    we (Mother and 4 brothers) have a house, which was bought by my father 1985.We decided to sell the property. How to we calculate the capital gain tax? What is the cost inflation index in 1985 & 2022.

      1. R S Mohan says:

        I had inherited 1945 prooerty land and building
        Guideline value of land in April 2091 is Rs 1551 per sft
        Current guideline value is rs 8241/ sft
        Indexed guideline value now 2022-23 is 3.31x 1551ie 5133 persft which is 3108 per sft lower than current value i 8241/ sft (8241-5133) . total ground6812 sft building value zero No improvements Pl advise us how to correct analogy Current classification residential/ commercial tariff iii and 2001 no such classification. Status of schools collegeshospitakd railway station remain same both in 2091 and now . Pl advise by mail my no is 9689888462 Pl call or provide no

        1. Sirish says:

          We purchased a pan in vizag in 1958 and the cost value per square yard was 6 rupees.
          Total area = 400 square yard
          Cost per square yard = 6 rupees
          Area = Railway new colony, Visakhapatnam
          Builder gave 6 flats but only 1 plot we sold out at 7500000 ( 75 lacs ) .

          What will be the capital gain considering

  19. A J Braganza says:

    I had purchased a plot of land in Goa in November 1997 for Rs 250000/-. I am now selling it for 64 lakhs.
    Please let me know what is the indexed cost, whether I can save LTCG by investing in Capital Gains Bonds upto Rs 50 lakhs and what is the tax I would have to pay after that investment.
    Thank You A J Braganza

      1. R.V.JOSHI says:

        i have purchased a plot at Nasik for RS 9,14,000 on 12-05-2008.
        paid stamp duty Rs 9440=00 on the same day.
        The plot is non agriculture vide collector letter dated 31-05-1995.
        I have sold the same for RS 34 50 000. ON 20-04-2023.

  20. nikhil parab says:

    father purchased mhada house in grant road, south mumbai for approx 50000 in 1975/77 and sold for 58 lacs in 2022. Paid 1% TDS on sale value already.
    can you pls share current property market value and if any capital gains apply. His age is 78 years

  21. Devangan says:

    My father purchased a plot for Rs. 18,000 and stamp charges of 1000. Cost of Acquistion is Rs. 19,000 in 1993.

    The plot is being sold for 21,00,000 excluding brokerage.

    Please advice LTCG and how it is calculated. No plan for reinvesting.

    Thanks in advance.

  22. Anu says:

    we are purchasing a flat, the cost to the owner to be paid is 31.5L, but since we need 100% loan we have taken the loan of amount 35L from Bank, so the DD given by the Bank to the Owner is 35L, from which owner will return 3.5L back to us. so we need to pay the capital gain tax for this 3.5L amount tot he owner, could you please tell us what should be the amount to be paid to this owner.

  23. Rajesh Mohan says:

    Cost of Property Acquisition : 400000
    Year 2006-07, CI Indexation : 122
    Sale Price of Property : 17000000
    Year 2021-22, CI Index : 317
    Indexed cost : 4000000 x 317/122 = 10400000
    Difference : 6600000
    If we buy a property for 6600000, will LTCG be applicable?

  24. Frank says:

    My father purchased a house in 1987 for rs. 22,000 and selling now, i.e., 2022 for rs.35 lakhs. How much is the capital gain and how much tax my father has to pay ?

    PS: he is above 65, hence would any concession for senior citizen?

    1. M K Chandrasekaran says:

      I bought a plot in 1986 for Rs.10 Lacs Now I am selling at Rs.40 Lacs.
      How much is the Capital Gain?
      How much tax i have to pay?
      How can I avoid (Reduce) Capital Gains Tax?

  25. Sridharan says:

    My Mother purchased a plot in 1973. It’s market value was 3,000/- After my mother’s death in 2006, I have inherited the property by “Sale Deed” by settling 2 lacs each for three sisters in the year 2013 and developed the plot and got loan 21,00,000/-constructed a house in 2015. Subsequently invested 1,20,000/- further construction was made in 2016. I hv sold the house in Feb 2022. What would be the capital gains tax to pay now? Kindly enlighten me.

  26. Sulo says:

    I purchased a plot in 1973. It was settled it to my husband in 1981 . It’s market value was 15,000/-He developed the plot and got loan 75,000/-constructed a house in 1982. Subsequently invested 1,20,000/- further construction was made in 1984. My husband sold the house in June 2021.
    What would be the capital gains tax he has to pay now? Kindly enlighten me.

  27. Vedika says:

    I bought a flat for Rs 12,000,00 in 2008, and sold it in November 2021 for Rs 36,100,00. I have spent Rs. 2,000,00 for the renovation of the flat.What is my capital Gain? How much I have to invest in REC bonds? Calculation please.

    1. V VENU MOHANA RAO says:

      My friend purchased a house @ Rs 275000 in 1998 and incurred an amount of Rs 90000 towards repairs in 2005 and sold the property in 2020 @ Rs 1425000. please Calculate capital gain

    2. Ajay Deoram Vegad says:

      I want to sale my ancestral property purchase by my grandfather in year 1967@4000/-and now I’m In2022 saling@400000 then what Will be capital gains tax I’ve to pay on basis of CII index

  28. SUBRAMANIAN B says:

    I have bought a plot on 17-08-1992 for Rs.27,000-00. Sold the property now for Rs.6,86,000-00. LTCG RS.1,95,170-00. FAIR MARKET VALUE OF THE PROPERTY ON 2001-02 WAS RS.1,55,000-00. WHAT IS MY CAPITAL GAIN? HOW MUCH I HAVE TO INVEST IN REC BONDS? CALCULATION PLEASE!

  29. Anil Joshi says:

    I purchased open plot in 1992 for Rs. 28000/- & sold Nov. 2021 for Rs. 900000/-. Before selling I paid all taxes/NAA charges/MC charges nearly Rs. 40000/-.

    How much capital gain tax to be paid?

  30. Maheswar J. says:

    Dear Sir,
    I purchased a house in 2010 for 35 lakhs and planing to sell it this year for 58lakhs. Please advise me wheather I am applicable for tax payable or not against the capital gain. Please I need your guidance, what should I do as I need this money for my child education and do not want to reinvest it this time.

    1. RAMAN GOSWAMI says:


  31. Sekhar says:

    My father had bought a property in 1984 and after his death recently, we beneficiaries would like to sell this property now. Please let me know how to calculate the long term capital gains tax ?

  32. Premraj Pander says:

    I have purchased a flat in Noida on 04 mar 2010 for 35 lac in self and son name if I sale it now in October,2021 for one cr can you please tell capital after indexation and capitan gain tax please thanks

  33. HARETI LAL MEENA says:

    I have sold property to Rs. 600000/- in oct, 2009 which was purchased in year 2005 @ Rs. 375000/- Full of amount of sale proceeds has been used to purchased new flat @1850000/- with adding acquisiton cost of st. duty & registration charges of Rs. 112500/- Further, amount of Rs. sale proceed was equally receive in my & my father a/c as sold property was under joint ownership. Please let me know whether i am applicable for tax payment or not under LTCG or STCG, if taxable, please let me who will need to pay tax, wthether son or father


    Sir My Mother-Father had purchased a house in 1984-85 and they died and that house is now in my name as legal heir. I am selling it now in 22 lakhs in current year 2021. what will be the Capital Gain Tax payable?

    1. HARETI LAL MEENA says:

      I have purchased a land by Rs 70000 during 1999-2000. Land-residential patta issued by government in 2002-03 with fees Rs 11000 Further i have constructed a house for Rs 9.50 Lakhs during 2002-03. I have sold this property during 2020 -21 for 33.50 lakhs. Whether it attracts capital gain tax if so How much i am liable for Capital gain tax during this this assesment year 2021-22.
      2. I am a senior Citizen age of 62 years. Is there any concession?

      Please help me for my this request.

      Hareti Lal Meena

  35. J V RAO says:

    I have taken the possession of flat in Mumbai valued Rs. 13 lakhs. The financial year for the payments made fall in 1999-2000. I wish to sell the flat now. How to calculate the value for capital gains.

  36. Vrajlal Vyas says:

    I had invested in UTI ULIP scheme from 1996 onwards till 2005. I wish to redeem the units in FY 2021-22. This will fall under both tables of CII. To use table from 2001 onwards , I need the FMV of Units on 01-04-2001. I searched the net but it is not available. From where this information will be available?

  37. vswami says:

    < Add-on
    Find the referred two Articles displayed on this website @
    17. “Deeming”– ‘A Legal Fiction’- Service Tax – A Case Study- Part II
    18. “Deeming” – ‘A Legal Fiction’! – Service Tax – A Case Study

  38. vswami says:

    INSTANT (- reaction, to serve the COMMON GOOD) :

    Per display there have been “772,376 Views 238 comments”.
    As selected, the one comment posted on, – “May 20, 2021 at 3:40 pm” stands out for more than one reason:
    That says: “What is the use of posting articles after articles when the CII benefits are denied on intrupting the section espicially in capital gains. The assessing officer getting hesitation to grant relief saying that the property construction amount not registered and hence CII benefit cannot be given. There are so many settled case laws that assessee shouldn’t be deprived……”

    Though not made quite clear, the reference therein, it appears, pertains to the wrong practice earlier indulged in by promoters, of entering into two agreements, – one for ‘ sale of land ‘ (UDI) and another for ‘ construction’ of ‘ UNIT’ (Flat/Apartment). Such a practice was being followed only with a view to ‘ saving on stamp duty’ , out of the total price for purchase’, that split and claimed, wrongly / illegitimately so, as ‘consideration’ agreed to in terms of the ‘ agreement for construction’.
    The referred aspect has been gone into and discussed in great details in inter alia the Article displayed on this website @ .
    As pinpointed therein, it is the above referred wrong practice of ‘ twin’ agreements (instead of a straight forward single agreement for ‘ sale’ of UNIT ) that was responsible for the government to rack its brains, to the end of conceiving of and bringing about , firstly the most controversial levy of ‘ VAT’ and Service Tax’ , and thereafter, GST , by deeming the transaction in its entirety as a ‘WORKS CONTRACT’.
    In the light of the above stated reasoning, it needs to be appreciated, the brunt of the blame- as given vent in the subject comment, – to be honest, cannot rightly and justifiably be passed to / heaped on the Revenue, in no view in toto.
    As regards the mention made of ‘ so many settled cases’, me personally am not aware of any such case law squarely covering the point of issue .
    ADMN/ Srs
    It will be of common interest to have the citation, in case the ‘point of issue’ raised has ever been judicially adjudicated upon!

  39. vswami says:

    In the write-up indicated to have been, -“Republished with Amendment, Source -Income Tax Website)”, in the attempted ILLUStration, both the year of purchase and the year of transfer taken are FYs covered within the Old Table applicable for FYs 1981-82 to 2016-17. And, one thought, it has been common understanding (look up most of the posted comments) that in all such cases the exercise for computing ‘ capital gains’ does not pose any problem. On the contrary, the problem arises, – has so far remained unresolved; instead has been increasingly muddled up – only in a case in which the year of transfer is FY 2017-18, or any later year.
    For More, suggest once again, at the cost of painful repeat, not to mind but care to mindfully look through the helpful material shared in several posts (Comments and Articles) via this website , besides elsewhere !

  40. Srs says:

    What is the use of posting articles after articles when the CII benefits are denied on intrupting the section espicially in capital gains. The assessing officer getting hesitation to grant relief saying that the property construction amount not registered and hence CII benefit cannot be given. There are so many settled case laws that assessee shouldn’t be deprived but unfortunately they are burdened on the cost of construction agreement taxable though it’s the cost to incurred for construction of apartment buildings but the same need to register when its improvement to land property converting further into building property and when the same apartment sold the incometax be levied by adding the same cost of construction to addressable value

    1. vswami says:

      wrt my since posted comments:
      Sorry; me personally am not at all surprised that the Revenue has been averse but is not agreeable to allow the benefit of ‘ CII’ on the ‘ cost of construction’ paid under a separate agreement (as distinct from a sale and purchase agreement as envisaged by the law- both in letter and spirit)
      Be that as it may, you will do well to share the citation of the favourable ‘ case law’ referred , in case, if any, that squarely covers on all the fours the point of grievance put across for the others’ info. !

  41. K Mathunni says:

    I had inherited a land in June 1990 at Rs 42000/- which is now (Jan 2021) transferred at Rs. 910000. Kindly give the tax payable with index calculation.


  42. Srinivasan Hariharan says:

    Bought house in Mumbai for Rs. 85,000 in FY 1985-86, Selling for Rs85,00,000 in FY 2020-21. what will be the applicable CII and tax liability

    1. Rajeev Mohan says:

      plot purchased in 2000 for Rs 129000/- registration charges 5200/-
      sold in 2021 for 3500000/-
      how much is capital gains and if tax is to paid how much.

  43. Hariharan says:

    Bought 2BHK Flat in Mumbai for Rs80,000 in Oct 1985, and selling for Rs. 85,00,000 in year 2021. What’s is the LTCG applicable. Do not intend to reinvest

  44. Krishnamurthy Rajagopal says:

    Dear Sir,
    I purchased a flat in Chennai in 1991 for Rs.2.05 lakhs.I proposed to sell it for Rs 40.00 lakhs now( 2021) The index was 182 in 1991 and 1222 in 2021.What will be the tax ( Capital gains) if I do not venture to buy a new one

    1. vswami says:

      “…..and 1222 in 2021….”
      Apparently, there is an error. Index for 1990-91 is 182; for 2021-22, however, that has to be specially ascertained having regard to the year wise DATA in the old and new Tables -respectively available in the two Tables, one for 1981-82 to 2016-17 and the other for 2001-02 to 2023-24.
      The difficulties faced with, mainly because of the overlapping of the DATA, as perpetrated, are regrettably still being perpetuated. The other reason is because of the view taken and being followed, -wrongly so in my personal view and firm conviction, that for any asset acquired before but sold after 2000-21, cost of acquisition could be taken by choosing to opt for the “FMV” as on 1-04-21 and applying CII as per the new Table.
      In the write-up published @
      its author observes :
      “2.4: Separate disclosure of cost of acquisition and indexed cost of acquisition: Earlier the assessee was required to disclose only the indexed cost of acquisition of property transferred. Now as per new ITR Forms assessee required to mention BOTH THE ‘COST OF ACQUISITION’ AND THE ‘INDEXED COST OF ACQUISITION’.”
      In reiterating my exclusively personal view / firm conviction, submit that, if the referred changes in the Form are duly interpreted and care taken to be consciously followed, that should put an end to, once far all, the still ongoing controversy, – impudently / flagrantly kept alive, and be considered as having been resolved.

      Why to say so; for, the two expressions, – THE ‘COST OF ACQUISITION’ AND THE ‘INDEXED COST OF ACQUISITION”, as stand substituted, clearly require to be construed and taken to mean/imply, as under :
      “Cost of Acquisition” should be the original cost of acquisition as incurred on the date/ in the year of acquisition; and
      the indexed cost should be reckoned by applying CII (a) as per the old Table for the years 1981-82 to 2006-07 and (b) as per the new Table for the years 2007-08 to the subsequent years.

      BACK to EXPERTS -not barring those who have been holding out and continue to canvass for a materially contrarian view, – in case of having any reservation on any of the points reiterated by me!

      1. vswami says:

        A self-correction:
        In place of the concluding lines be corrected and read, -the indexed cost should be reckoned by applying CII
        (a) as per the old Table applicable as such, for the years 1981-82 to 2016-17 and
        (b) as per the new Table applicable for the year 2017-18 to the year of sale! < (Check!?)

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October 2023