Calculation of cost of acquisition

[Sumit Khurana]

Sir,

we have sold a property in F.Y. 2014-15 which was purchased in 1960. For calculation of cost of acquisition we wand to adopt fair value as on 01.04.1981. From where can we get such value?

[DR.MARIAPPAN GOVINDARAJAN]

Index is announced every year on the basis of value of the year 1981. You can get the fair value from the Registration Department officials.

AI Summary

Cost of acquisition valuation: use the official 1981 fair value index and obtain the value from the Registration Department. Calculation of Cost of Acquisition for a long-held property relies on adopting the officially notified base year fair value and the published index. The annual index is compiled on the basis of base year values, and the Registration Department is the practical source for obtaining the fair value used to determine the indexed cost for capital gains computation.