Income-tax Act, 1961Section 43CA
- SDV substituted where sale price is lower (builders/dealers)
- 10% tolerance
- Agreement-date SDV if advance paid by banking channel
Applies to FY 2025-26 (AY 2026-27) and earlier years.
IT Act 1961 → 2025 / Section 43CA
Business incomeSection 43CA → Section 53
Stamp duty value as sale price for land/building held as stock-in-trade
Section 43CA of the old Income-tax Act, 1961 · new section 53 under the Income-tax Act, 2025
New reference Section 53
Income-tax Act, 2025Section 53
- Same, now section 53
- 110% tolerance retained
- Agreement-date option retained
Applies from tax year 2026-27 (from 1 April 2026).
What changed
Renumbered.
Practice notes
- Capital asset counterpart is section 78 (old 50C).
Frequently asked
What is section 43CA called in the new Income Tax Act 2025?
Section 53: stamp duty value substituted for stock-in-trade land/building, with a 10% tolerance.
What is section 43CA called in the new Income-tax Act, 2025?
Section 43CA of the Income-tax Act, 1961 corresponds to Section 53 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
What changed in section 43CA under the new Income Tax Act?
Renumbered.
Is section 43CA still applicable for FY 2025-26?
Yes. Income of FY 2025-26 (AY 2026-27) and earlier years is governed by section 43CA of the 1961 Act. Section 53 of the 2025 Act applies from tax year 2026-27.