Cost Inflation Index Raised To 384. This Tax Update Could Help You Pay Less On Property Sales - Here's Why

The Central Board of Direct Taxes (CBDT) has increased the Cost Inflation Index (CII) to 384 for the financial year 2026-27, up from 376 in the previous year. This index is a key tool used to calculate the inflation-adjusted cost of an asset, which helps determine the long-term capital gains tax on property sales.
For investors holding property, a higher CII means the cost price of the asset is effectively increased for tax purposes. This can lower the taxable gain when the property is sold, potentially reducing the tax liability. It is particularly beneficial for those who have held the asset for the long term.
Investors should review their property holdings to understand the potential impact on their tax calculations. Keeping track of such updates is essential for accurate financial planning and tax compliance.
Key takeaways
- Category: Economy.
- Assessed as a significant, market-relevant update.
Why it matters
A meaningful update worth tracking. Use the price and stock snapshot to gauge how the market is responding.




