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Indexed cost of improvement

varsha r (11 Points)

25 June 2022

Assessee has incurred cost of improvement but doesn't has any proof for same. In case if he claims the same while calculating the capital gains and the assessing officer sends any notice how can he claim the same.Are there any case laws regarding the same..?

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29 Replies

rama krishnan (12239 Points)
Replied 26 June 2022

Until the assessee was asked to produce proof in support of improvement costs there's no problem, if not you are required to submit proof in support of your claim. better get a valuation report from a registered valuer to substantiate your claim

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sabyasachi mukherjee (27574 Points)
Replied 26 June 2022

Add cost of improvement having substantial proofs.

Eswar Reddy S (CFO- at NHTF) (58270 Points)
Replied 26 June 2022

If the payment for cost of improvement is made from Bank using online modes then it may be sufficient.

1 Like

CA Rashmi Gandhi (Chartered Accountant) (86323 Points)
Replied 26 June 2022

You can show the cost of improvement now and arrange invoice later on if any required from assessing officer. Until and unless asked for, you need not required any proof.

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sabyasachi mukherjee (27574 Points)
Replied 26 June 2022

Cheque is not acceptable. I don't accept .I strongly protest.

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CA Rashmi Gandhi (Chartered Accountant) (86323 Points)
Replied 26 June 2022

What is this @ Sabyasachi Mukherjee
Just reply with some sense

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Eswar Reddy S (CFO- at NHTF) (58270 Points)
Replied 26 June 2022

@ Varsha ,

If you have built capital asset then that can be a valid reason for COI. If land is bought and compound wall can be a proof if it additionally built

God knows about strong protest 🤣 effect of Another peg (Sunday).