https://www.taxtmi.com/article/detailed?id=16807 The concept of actual cost remains central to depreciation, capital gains and related tax adjustments under the Income-tax Act, 1961 and the Income-tax Act, 2025. The commentary says the 2025 Act broadly continues the 1961 theme, but recasts the rules into a consolidated computation provision with formulae, illustrations and special cases. Section 39 reduces actual cost by specified amounts such as third-party funding, credit-linked taxes, subsidies and cash payments above the prescribed limit, and also covers special acquisition situations, apportionment of subsidies, interest after first use and anti-avoidance assessment of transferred assets. en-us Wed, 01 Jul 2026 08:49:50 +0530 Wed, 01 Jul 2026 08:49:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=16807 The concept of actual cost remains central to depreciation, capital gains and related tax adjustments under the Income-tax Act, 1961 and the Income-tax Act, 2025. The commentary says the 2025 Act broadly continues the 1961 theme, but recasts the rules into a consolidated computation provision with formulae, illustrations and special cases. Section 39 reduces actual cost by specified amounts such as third-party funding, credit-linked taxes, subsidies and cash payments above the prescribed limit, and also covers special acquisition situations, apportionment of subsidies, interest after first use and anti-avoidance assessment of transferred assets. Articles Income Tax Wed, 01 Jul 2026 08:49:50 +0530 https://www.taxtmi.com/article/detailed?id=16807