25 June 2009
I booked allotted a flat with DLF and signed a Buyer's agreement. However during the construction by DLF and before the possession I transferred the flat in FY 2008-09 by endorsing on the buyers' agreement and the same was transferred by DLF in their record. Please advise the tax implication on profit resulting from the transaction.
26 June 2009
Yes. The income is taxable under Income from Capital Gains by virtue of clause 3 of Sec.2(47) i.e relinquishment of any right in the asset.
CAclubindia
