K.Vijay Lakshmi, Hyderabad. v. ACIT (2018) 169 ITD 597 (SMC)(Hyd) (Trib.) Adinarayana Reddy Kummeta. v. ACIT (2018) 169 ITD 683( SMC) (Hyd) (Trib.)

S.45: Capital gains- Development agreement – Assessee has handed over possession of plot to developer therefore there was transfer and liable to capital gains tax- As per the agreement has parted with only 50 percent of property ,only 50 percent can be taxed . As regards provision S.45(5A) being substantive provision introduced by the Finance Act , 2017 cannot be applied to the development agreement entered in to earlier-Reassessment was also held to be valid . [ S.2(47)(v), 45(5A),147 ]

Tribunal held that , assessee has handed over possession of plot to developer therefore there was transfer and liable to capital gains tax. As per the agreement has parted with only 50 percent of property therefore only 50 percent can be taxed . As regards provision S.45(5A) being substantive provision introduced by the Finance Act , 2017 cannot be applied to the development agreement entered in to earlier. Reassessment was also held to be valid . ( AY.2009 -10)

4 comments on “K.Vijay Lakshmi, Hyderabad. v. ACIT (2018) 169 ITD 597 (SMC)(Hyd) (Trib.) Adinarayana Reddy Kummeta. v. ACIT (2018) 169 ITD 683( SMC) (Hyd) (Trib.)
  1. vswami says:

    “…As regards provision S.45(5A) being substantive provision introduced by the Finance Act , 2017 cannot be applied to the development agreement entered in to earlier. Reassessment was also held to be valid . ( AY.2009 -10)”

    Why NOT ?
    For counter-views, look up > https://www.facebook.com/swaminathanv3/posts/2002969576445985

  2. vswami says:

    “…..As regards provision S.45(5A) being substantive provision introduced by the Finance Act , 2017 cannot be applied to the development agreement entered in to earlier. Reassessment was also held to be valid . ( AY.2009 -10)”

    For counter view points,- https://www.facebook.com/swaminathanv3/posts/2002969576445985