According to Section 45 (2) of Section 45 (2) of the year of their sale, the conversion of land to inventory values would be taxable on the basis of fair value at the time of conversion. Given that the stock in the trade was transferred from the appraisers to “S” on 10.9.2003, that is, when the auditor granted an irrevocable power of attorney in favour of “S” over which he was entitled to the ownership and transfer of the land assigned to him, earnings from the transfer of shares in trading, which represents a difference between the fair value of the built area allocated to the appraiser and the fair value of the assets at the time of the conversion into stock appreciation, would be considered as a single profit in a relevant valuation year. This section introduces the concept of transferring the tax capacity of capital income to minimize the actual rigour that the owner of land or buildings must face when paying capital gains during the transfer year. If, in the following year, the profits of the company were to be taxed in the hands of the expert landowner, when the project dwellings were fully developed and handed over to home buyers, the capital gains resulting from the conversion of the Assessive`s land into shares in the trading before the development agreement would also be imposed on the expert`s hands in the following year. If, as part of a development agreement, the auditor authorizes the developer to enter the premises of his land in order to take all necessary measures to build housing, it could be said that the auditor handed over ownership of his land to the developer and therefore made a “transfer” in accordance with Section 2 (47) and was taxable as a capital gain in the year in which an agreement was reached. Since the contract is partially in accordance with the contract of nature covered by section 53 of the Property Transfer Act 1882, Section v of Section 2 (47) is clearly attracted. It was also proposed that in such cases, capital gains set out in the general provisions of the Act are considered to be income from the previous year in which the transfer took place and calculated in accordance with the provisions of the Act, regardless of those provisions. Assessee executed Regd. JDA and has ceded ownership of land to developers for development – nothing can be construed as granting ownership in part of the agreement under terms 2 (47) (v) and 2 (47) (vi). – Once the project is completed, Mr. X is entitled to 60% of the project`s built-up area in the form of housing/trade, etc., according to Agreement C. In the event that the conversion of land held by landowners as capital assets in the trading portfolio prior to entry into the JDA: the application of the transfer definition took place during the year in which land or buildings or both were handed over to the developer.
It is clear from the agreements and related legal principles that all dwellings received in the land use contract would technically become a home for the U/s 54/54F claim, although they are independent units. Calculation of capital tax, services tax and stamp duty These amendments come into effect from April 1, 2018 and therefore apply to the 2018-19 tax year and subsequent years. In addition, it is proposed that a new 194-IC section be introduced into the act to provide that, in the event that a monetary policy counterparty is payable under the pre-established agreement, the 10% tax would be deductible from that payment.