COST INFLATION INDEX
The cost inflation index (CII) for the Financial Year 2020-21 has been notified by the Central Board of Direct Taxes (CBDT) vide notification no. 32/2020 dated 12th June, 2020. This notification shall come into force with effect from 1st April, 2021 and shall accordingly apply to the assessment year 2021-22 and subsequent years.
Cost Inflation Index is very significant as it is used to arrive at the inflation adjusted purchasing price of assets and thereby long-term capital gains (LTCG). It is very important to compute the long-term capital gains/long-term capital loss.
The Central Board of Direct Taxes (CBDT) has notified Cost Inflation Index for the Financial Year-2020-21 as “301”.
Here is the table showing all the Cost Inflation Index (CII) numbers since 2001-02:-
Sr. No. | Financial Year | Cost Inflation Index (CII) |
1 | 2001-02 | 100 |
2 | 2002-03 | 105 |
3 | 2003-04 | 109 |
4 | 2004-05 | 113 |
5 | 2005-06 | 117 |
6 | 2006-07 | 122 |
7 | 2007-08 | 129 |
8 | 2008-09 | 137 |
9 | 2009-10 | 148 |
10 | 2010-11 | 167 |
11 | 2011-12 | 184 |
12 | 2012-13 | 200 |
13 | 2013-14 | 220 |
14 | 2014-15 | 240 |
15 | 2015-16 | 254 |
16 | 2016-17 | 264 |
17 | 2017-18 | 272 |
18 | 2018-19 | 280 |
19 | 2019-20 | 289 |
20 | 2020-21 | 301 |
To get official notification please click here-Notification No.-32/2020
To read more articles please click here-Tax Brainly