PCIT v. Prakash Krishnalal Bhagwati (2018) 254 Taxman 132 (Guj.)(HC)

S. 48 : Capital gains –Indexed cost- Since property was acquired by father of assessee in year 1945, indexed cost of acquisition was required to be computed by considering cost of acquisition for year beginning on 1-4-1981 [ S.45, 49(1)(iii) ]

Dismissing the appeal of the revenue , the Court held that ;since property was acquired by father of assessee in year 1945, indexed cost of acquisition was required to be computed by considering cost of acquisition for year beginning on 1-4-1981, though the assessee acquired the property on 8-3-2004, under a will, cost of acquisition was deemed to be cost for which previous owner, namely assessee’s father, acquired it.(Followed CIT v.Manjula J.Shah ( 2016) 355 ITR 474 ( Bom) (HC) )