: This 2001 value is then multiplied by the Cost Inflation Index (CII) to arrive at the indexed cost, which reduces the taxable gain amount. Typical Report Structure

$$ \textIndexed Cost = \frac\textCII of Sale Year\textCII of 2001-02 (426) \times (\textRate from RR \times \textArea) $$

: The FMV used for tax purposes cannot exceed the Stamp Duty Value (Ready Reckoner rate) as of April 1, 2001.