Allowing the appeal of the assessee the Tribunal held that ;As per terms of development agreement with builder the assessee would not be paid any monetary consideration but would receive built-up residential area on completion of project. Capital gains cannot be taxed on accrual basis in the year of agreement. (AY. 2014-15)
Aarti Sanjay Kadam (Mrs.) v. ITO (2018) 172 ITD 362 (Mum.) (Trib.)
S. 45 : Capital gains-transfer Accrual-Development agreement-As per terms of development agreement with builder the assessee would not be paid any monetary consideration but would receive built-up residential area on completion of project-Capital gains cannot be taxed on accrual basis in the year of agreement. [S. 2(47)(v), 48]