Understanding the Full Value of Consideration of capital assets under Business income Head: Clause 53 of the Income Tax Bill, 2025 vs. Section 43CA of the Income-tax Act, 1961

Full value of consideration deemed as stamp duty value where declared consideration is lower, affecting business income taxation.

Clause 53 deems the stamp duty value to be the full value of consideration for transfers of land or buildings when stamp duty value exceeds declared consideration, subject to exceptions where the stamp duty value falls within a prescribed margin above consideration, allowance for stamp duty value as of the agreement date when agreement and registration dates differ, conditions tied to receipt of consideration through prescribed banking or electronic modes before the agreement date, and reference to statutory value-determination rules.