Indexation on cost of improvement

If purchased from previous owner....... no need

If received as gift or so....... yes.

What do 'No need mean'? doesn't it be included as cost of improvement?

Purchase value represents FMV as on the date of transfer........ which includes all such costs (of previous owner)

as per section 55 cost of acquisitions for any asset is the purchase consideration paid by you. in case if you have acquired assets as per section 47 i.e gift will etc then cost in your hand would be cost in the hands of previous owner. Considering above you will not be entitled to cost of improvements incurred by previous owner if you have purchased the asset if you have acquired assets by gift will etc then you will be entitled for same.

thank you both! sir.