Income-tax Act, 2025

Cost with reference to certain modes of acquisition. - Section 73

Cost with reference to certain modes of acquisition.

73. (1) In the case of a capital asset specified in column B of the Table below, the cost of acquisition of the asset shall be deemed to be the cost as mentioned in column C of the said Table.

TABLE

Sl. No. Description of the capital assetCost of acquisition

ABC

1.If the capital asset became the property of the assessee

(a) under a gift or will; or

(b) by succession, inheritance or devolution; or

(c) on any distribution of assets on the liquidation of a company; or

(d) under a transfer to a revocable or an irrevocable trust; or

(e) being a Hindu undivided family, by the mode referred to in section 99(3) after the 31st December, 1969; or

(f) under any such transfer as is referred to in section 70(1)(a), (c), (d), (e), (g), (h), (i), (j), (l), (m), (n), (o), (t), (u), (v), (w), (zd), (ze) or (zf).The cost for which the previous owner of the property acquired it,
as increased by the cost of any improvement incurred or borne by the
previous owner or the assessee.

2.Capital asset, being a share or shares in an amalgamated company
which is an Indian company that became the property of the assessee in consideration of a transfer referred to in section 70(1)(f).The cost of acquisition to him of the share or the shares in the
amalgamating company.

3.Capital asset being a share or debenture of a company, which became
the property of the assessee in consideration of a transfer referred to
in section 70(1)(z) or (za).That part of the cost of debenture, debenture-stock, bond or deposit
certificate in relation to which such asset is acquired by the assessee.

4.Capital asset, being specified security or sweat equity shares,
referred to in section 17(1)(d).Fair market value taken into account for the purposes of the said
clause.

5.Capital asset, being rights of .... To read the full section download the app from Google Play store