Section 14 - Amendment of section 49 - Taxation Laws (Amendment) Act, 1984

14. Amendment of section 49. In section 49 of the Income-tax Act, after sub-section (2), the following sub-section shall be inserted namely: (3) Notwithstanding anything contained in sub-section (1), where the capital gain arising from the transfer of a capital asset referred to in clause (iv) or, as the case may be, clause (v) of section 47 is deemed to be income chargeable under the head Capital gains by virtue of the provisions contained in section 47A, the cost of acquisition of such asset to the transferee company shall be the cost for which such asset was acquired by it. .