What is the Cost Inflation Index for FY 2014-15 AY 2015-16?
Answer 003
CBDT has notified "1024" as the Cost Inflation Index (CII) for Financial Year 2014-15 / Assessment Year 2015-16. The Cost Inflation Index for the last year (Financial Year 2013-14) was "939". This signifies an official annual inflation figure of 8.30%.
Cost Inflation Index is required when you calculate Long term capital gain under Income Tax Act. It could be long term capital gains because of transactions in real estate, Fixed Maturity Plans, Debt Based Mutual Funds, Gold ETFs or any other capital.
Understanding of Capital Gains along with Cost indexation helps us save taxes because of inflation since we purchased the capital. Make sure you understand that before you file your Income Tax Returns for the last financial year.
Related Posts:
- Income Tax Slabs for FY 2013-14 / AY 2014-15
- See what people say when they move from the rat race to financial freedom
- Learn how to pursue Financial Freedom
- Save Taxes on Capital Gains
- Read what readers of the book have been saying.
- All about Income Tax
- Difference between Financial Year and Assessment Year
- All about Mutual Funds
Cheers
Manoj Arora
Freedom can buy you....what money cannot !!
No comments:
Post a Comment
Feel free to ASK.... that is the first step towards Financial Freedom !!