Income Tax Act, 2025
Section 7: Ins. by Act 26 of 1988, s. 13 (w.e.f. 11988).
7. Ins. by Act 26 of 1988, s. 13 (w.e.f. 11988).
244
1[43CA. Special provision for full value of consideration for transfer of assets other than capital
assets in certain cases.—(1) Where the consideration received or accruing as a result of the transfer by
an assessee of an asset (other than a capital asset), being land or building or both, is less than the value
adopted or assessed or assessable by any authority of a State Government for the purpose of payment of
stamp duty in respect of such transfer, the value so adopted or assessed or assessable shall, for the
purposes of computing profits and gains from transfer of such asset, be deemed to be the full value of the
consideration received or accruing as a result of such transfer.
2[Provided that where the value adopted or assessed or assessable by the authority for the purpose of
payment of stamp duty does not exceed one hundred and five per cent. of the consideration received or
accruing as a result of the transfer, the consideration so received or accruing as a result of the transfer
shall, for the purposes of computing profits and gains from transfer of such asset, be deemed to be the full
value of the consideration.]
(2) The provisions of sub-section (2) and sub-section (3) of section 50C shall, so far as may be, apply
in relation to determination of the value adopted or assessed or assessable under sub-section (1).
(3) Where the date of agreement fixing the value of consideration for transfer of the asset and the date
of registration of such transfer of asset are not the same, the value referred to in sub-section (1) may be
taken as the value assessable by any authority of a State Government for the purpose of payment of stamp
duty in respect of such transfer on the date of the agreement.
(4) The provisions of sub-section (3) shall apply only in a case where the amount of consideration or
a part thereof has been received 3[by way of an account payee cheque or an account payee bank draft or
by use of electronic clearing system through a bank account] on or before the date of agreement for
transfer of the asset.]
4[43CB. Computation of income from construction and service contracts.—(1) The profits and
gains arising from a construction contract or a contract for providing services shall be determined on the
basis of percentage of completion method in accordance with the income computation and disclosure
standards notified under sub-section (2) of section 145:
Provided that profits and gains arising from a contract for providing services,—
(i) with duration of not more than ninety days shall be determined on the basis of project
completion method;
(ii) involving indeterminate number of acts over a specific period of time shall be determined on
the basis of straight line method.
Where the consideration received or accruing as a result of the transfer by
an assessee of an asset (other than a capital asset), being land or building or both, is less than the value
adopted or assessed or assessable by any authority of a State Government for the purpose of payment of
stamp duty in respect of such transfer, the value so adopted or assessed or assessable shall, for the
purposes of computing profits and gains from transfer of such asset, be deemed to be the full value of the
consideration received or accruing as a result of such transfer.
2[Provided that where the value adopted or assessed or assessable by the authority for the purpose of
payment of stamp duty does not exceed one hundred and five per cent. of the consideration received or
accruing as a result of the transfer, the consideration so received or accruing as a result of the transfer
shall, for the purposes of computing profits and gains from transfer of such asset, be deemed to be the full
value of the consideration.]
The provisions of sub-section
and sub-section
of section 50C shall, so far as may be, apply
in relation to determination of the value adopted or assessed or assessable under sub-section
Where the date of agreement fixing the value of consideration for transfer of the asset and the date
of registration of such transfer of asset are not the same, the value referred to in sub-section
may be
taken as the value assessable by any authority of a State Government for the purpose of payment of stamp
duty in respect of such transfer on the date of the agreement.
The provisions of sub-section
shall apply only in a case where the amount of consideration or
a part thereof has been received 3[by way of an account payee cheque or an account payee bank draft or
by use of electronic clearing system through a bank account] on or before the date of agreement for
transfer of the asset.]
4[43CB. Computation of income from construction and service contracts.—
The profits and
gains arising from a construction contract or a contract for providing services shall be determined on the
basis of percentage of completion method in accordance with the income computation and disclosure
standards notified under sub-section
of section 145:
Provided that profits and gains arising from a contract for providing services,—
with duration of not more than ninety days shall be determined on the basis of project
completion method;
involving indeterminate number of acts over a specific period of time shall be determined on
the basis of straight line method.