CBDT notifies new CII with revised base year as F.Y. 2001-02.

 CBDT vide Notification No. 44/ 2017 dated 5th June 2017 notifies new Cost Inflation Index (CII) with revised base year as F.Y. 2001-02.

Summary:

1) Finance Act, 2017 shifted base year from F.Y. 1981-82 to F.Y. 2001-02. 

2) Vide Notification No. 44/ 2017 CBDT has notified new Cost Inflation Index (CII) with revised base year as F.Y. 2001-02 as mentioned in the below table:

SI. No.

Financial Year Cost Inflation Index

(1)

(2)

(3)

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

3) Thus, In respect of capital assets acquired prior to 01.04.2001, the assessee shall have an option to substitute fair market value as on 01.04.2001 for its cost of acquisition. Further, Cost of Improvement shall mean all expenditure of capital nature incurred on or after 01.04.2001 by the assessee or by the previous owner in making additions or alteration to the capital asset. 

4) This notification shall come into force with effect from 1st day of April, 2018 and shall accordingly apply to the assessment year 2018-19 and subsequent years.

Categories: CBDT