Notification No. 70/2025 [F. No. 370142/24/2025-TPL)] / S.O. 2954(E)

What it does

In exercise of the powers under clause (v) of the Explanation to section 48 of the Income-tax Act, 1961, the Central Government amends its notification S.O. 1790(E) dated 5 June 2017, which contains the Table of cost inflation index figures. After serial number 24 and the entries relating thereto, a new serial number 25 is inserted, giving the figure 376 for the financial year 2025-26.

Who it reaches

Persons computing indexed cost of acquisition or improvement on a transfer of a long-term capital asset in financial year 2025-26
Chartered accountants and valuers preparing capital gains computations
Assessing Officers verifying indexation claimed for that year

The provisions it speaks to

Left, the provision of the Income-tax Act, 1961 as the instrument itself names it. Right, the section of the Income-tax Act, 2025 that the department’s own concordance maps it to — which is where the same ground is now covered.

Under the 1961 Act	Now
s.3	s.3
s.48	s.2, s.72

The instrument, as the Board published it

The department publishes this one only as a PDF, so the words below were read out of that PDF by machine. That reading can carry its own mistakes — a misread number, a broken line. Check the signed document before you rely on a figure in it.

MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 1st July, 2025
INCOME-TAX
S.O. 2954(E).— In exercise of the powers conferred by clause (v) of the Explanation to section 48 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), Central Board of Direct Taxes, published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (ii) vide number S.O. 1790(E), dated the 5th June, 2017, namely:-

2. In the said notification, in the Table, after serial number 24 and the entries relating thereto, the following serial number and entries shall be inserted, namely: -
"25 2025-26 376".

3. This notification shall come into force on the 1st day of April, 2026 and shall accordingly apply to the Assessment Year 2026-27 and subsequent years.

[Notification No. 70/2025/F.No.370142/24/2025-TPL]
SAMUEL PITTA, Dy. Secy. (Tax Policy and Legislation)

Note: - The principal notification was published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (ii) vide number S.O. 1790(E), dated the 5th June, 2017 and was last amended vide notification number S.O. 2103(E), dated the 24th May, 2024.

Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.

From when

1 April 2026, applying to assessment year 2026-27 and subsequent years.

What to watch

The notification comes into force on 1 April 2026 and applies to assessment year 2026-27 and subsequent years.
Only a new entry is added; the existing entries in the Table are untouched.
The index of 376 is for financial year 2025-26, so it applies to a transfer made in that year and, where relevant, as the index of the year of transfer.
The note records that the principal notification was last amended vide S.O. 2103(E) dated 24 May 2024.

Where you meet it

In the capital gains schedule of the return of income for assessment year 2026-27, where the indexed cost of acquisition or improvement is computed using the cost inflation index notified under clause (v) of the Explanation to section 48.

An example

Ours, not the Board’s: a worked case built from the rule the instrument sets, to show how it falls out.

An asset acquired in a year with a cost inflation index of 100 and transferred in financial year 2025-26 has its cost of acquisition multiplied by 376 and divided by 100 to give the indexed cost, in a computation for assessment year 2026-27.

On the same provision

Other instruments in this library that name the same provision of the 1961 Act. They are not necessarily still operative, and a later one may have replaced an earlier one without saying so.

Notification No. 94/2026 [F. No. 370142/24/2026-TPL] / G.S.R. 646(E) : Income-tax (Second Amendment) Rules, 2026 : Amendment of rule 157 of the Income tax Rules, 2026 to align the definition of the specified fund with rule 114AAB of the Income tax Rules, 1962 — Ministry of Finance 21 July 2026
Notification No. 64 — [भाग II—खण् ड 3(i)] भारत का रािपत्र : असाधारण 7 16 April 2026
Notification No. 63/2026 [F. No. 370142/13/2026-TPL]/ GSR 268(E) — 2 the Gazette of INDIA : Extraordinary [Part Ii—sec. 3(i)] 10 April 2026
Notification No. 62/2026 [F. No. 370142/10/2026-TPL]/ GSR 267(E) — Ministry of Finance 10 April 2026
Notification No. 61/2026 [F. No. 370142/9/2026-TPL] / GSR 266(E) — [भाग II—खण् ड 3(i)] भारत का रािपत्र : असाधारण 3 10 April 2026
Notification No. 60/2026 [F. No. 370142/8/2026-TPL]/ GSR 265(E) — 2 the Gazette of INDIA : Extraordinary [Part Ii—sec. 3(i)] 10 April 2026

← Notification No. 71/2025 [F. No. 300196/29/2024-ITA-I] / S.O. 2961(E) · Notification No. 69/2025 [F. No. 501/6/1991-FTD-II)] / S.O. 2858(E) →

What a notification is. A notification is made under a power the Act itself gives, and within that power it is law — unlike a circular, which only binds the department. Its reach is the reach of the enabling provision and no wider, and the date it carries decides from when it works.

Source: the Income Tax Department’s own published text — its page for this instrument.

What this is