The Indian Income Tax Act requires that you pay taxes on profits derived from the sale of the property. I will tell you how to calculate the indexed cost with the below process.
Calculation of Property Indexation:
Indexed Cost = Real Purchase Price x (CII for the year of sale / CII for the year of purchase)
= 80,000 X (280 / 122)
= 1,83,606
So, the indexed cost for the AY 2018-19 = Rs.1,83,606
If you find it hard to calculate, you can calculate it easily with the following method.
Read More: How To calculate indexed cost of acquisition? How to calculate indexation on property?Your Feedback Matters! How was this Answer?
Thanks ,We got your reaction
Shifting, House?
✔
Lowest Price Quote✔
Safe Relocation✔
Professional Labour✔
Timely Pickup & Delivery
Intercity Shifting-Upto 25% Off
Check Prices
Intracity Shifting-Upto 25% Off
Check Prices
City Tempo-Upto 50% Off
Book Now
Find out the indexed cost for the AY 2018-19. Cost of plot acquired in 2006-07 80,000 [C.I.I. = 2006-07 = 122; 2017-18 =272].
P. Chandramoorthy
184 Views
1
3 Year
2022-02-16T11:43:25+00:00 2022-02-21T22:46:32+00:00Comment
Share