FAQ on Cost Inflation Index in India. What is cost inflation index? The cost inflation index (CII) are fixed by Government of India in its official Gazette to measure inflation. The Cost Inflation Index are mainly used in the computation of long-term capital gains with regard to the sale of assets.

7 Jan 2020 What is a 'capital gain' when it comes to real estate and what are the tax Where CII is the Cost Inflation Index specified by the Income Tax  The Government of India, Ministry of Finance (Department of Revenue), Central The Cost of Inflation Index is mainly used to compute Long term capital gain. Income from capital gains is classified as "Short Term Capital Gains" and "Long exchange in India (listing of shares is not mandatory if transfer of such shares Cost of acquisition × Cost inflation index of the year of transfer of capital asset  11 Feb 2020 For equity-oriented funds, capital gains for a holding period of more The cost price is indexed as per the cost inflation index to adjust for The writer is director , Investment Advisory, Morningstar Investment Adviser (India). Which is the Base Year for calculation of Cost inflation Index in Capital Gain? Equity shares which are recognised on a stock exchange in India and which are  

4 Feb 2020 CII or Cost Inflation Index refers to the numbers issued by the Income Tax Indexed cost can be calculated for the purpose of capital gains on the sale The inflation index is issued by the government of India every year via 

9 Mar 2020 Cost Inflation index also called Capital gain index is used to calculate the indexed cost of acquisition for long-term capital gain tax. Read this  NOTIFIED COST INFLATION INDEX UNDER SECTION 48, EXPLANATION (V). As per Notification No. So 3266(E) [No. 63/2019 (F.No. 370142/11/2019-TPL)],  25 Jan 2020 This is the official website of Central Board of Direct Taxes (CBDT), Department of Revenue, Ministry of Finance, Government of India. Cost Inflation Index (CII) India 2019-20 A Cost Inflation Index table is used to calculate the long term capital gains from a transfer or sale of capital assets. Likewise, it is not fair to pay Capital Gain Tax without incorporating the factor of inflation. Capital gains is the profit you make on selling an asset. It can be real 

9 Mar 2020 Cost Inflation index also called Capital gain index is used to calculate the indexed cost of acquisition for long-term capital gain tax. Read this 

The cost inflation index (CII) are fixed by Government of India in its official Gazette to measure inflation. The Cost Inflation Index are mainly used in the computation of long-term capital gains with regard to the sale of assets.

Cost Inflation Index (CII) and how to rework capital gains. CII is a technique to reduce tax payments by employing a price index which adjusts for inflation.

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 2019-20.Cost Inflation index are used for computing indexed cost of acquisition. The Income Tax department recognizes this and issues an annual Cost Inflation Index (CII) that allows you to index your cost of acquisition to take inflation into account. This indexed cost is then used to calculate your long term capital gains and the resultant tax on same. In this post, I will share the complete cost inflation index chart Cost Inflation Index for AY 2020-21, Cost Inflation Index for FY 2019-20 for Long Term. Capital gain is the profit you make on selling an asset. It can be stock, real estate, mutual funds, jewellery etc. If you are selling an asset after one year from the date of its purchase, the profit becomes a short term capital gain. But in the case of taxation, the LTCG on capital assets will be after adjusted the cost of buying to inflation or Cost of Inflation Index (CII). Hope you understood the concept and importance of Cost of Inflation Index (CII). Below is the chart showing the Cost of Inflation Index (CII) from the changed base year FY 2001-02 to FY 2017-18.

Cost Inflation Index released by the Govt. for Financial Year 2015-16 is 1081 & for F/Y 2014-15 is 1024. Capital Gains = Sale Price – Indexed Cost of Acquisition CA Karan Batra, the founder of this website is All India Rank 22 in CA Exams 

Cost Inflation Index for AY 2020-21, Cost Inflation Index for FY 2019-20 for Long Term. Capital gain is the profit you make on selling an asset. It can be stock, real estate, mutual funds, jewellery etc. If you are selling an asset after one year from the date of its purchase, the profit becomes a short term capital gain. But in the case of taxation, the LTCG on capital assets will be after adjusted the cost of buying to inflation or Cost of Inflation Index (CII). Hope you understood the concept and importance of Cost of Inflation Index (CII). Below is the chart showing the Cost of Inflation Index (CII) from the changed base year FY 2001-02 to FY 2017-18.

27 Jul 2015 Currently, the income-tax law allows long-term capital gains to be computed after adjusting for inflation. The cost of acquisition as well as the  Cost Inflation Index And Computation Of Capital Gains in case of NRI reinvestment thereafter, in, and sale of, shares in, or debentures of an Indian company. 23 Aug 2007 Long-term capital gains from shares and equity funds (where over 60% of the corpus is invested in equities) are tax free. But the gains from the  20 May 2016 In indexation and capital gain terminology, the adjusted purchase price is called ' indexed cost of acquisition'. Indexation Benefit in Debt Mutual  Cost Inflation Index (CII) and how to rework capital gains. CII is a technique to reduce tax payments by employing a price index which adjusts for inflation.