https://www.taxtmi.com/forum/issue?id=107485 The purchaser's pre-possession contractual right to the flat is a capital asset and its cancellation with refund amounts to transfer by extinguishment; the refund is the full value of consideration. Instalments paid more than three years before transfer are long term and those within three years are short term, and allocation of the refund between LT and ST components may be done pro rata or by rate of return apportionment. If holding exceeds thirty six months, indexation applies to instalments as cost (with later payments treated as cost of improvement in their payment year). en-us Thu, 16 Oct 2014 12:43:01 +0530 Thu, 23 Jan 2025 15:57:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=107485 The purchaser's pre-possession contractual right to the flat is a capital asset and its cancellation with refund amounts to transfer by extinguishment; the refund is the full value of consideration. Instalments paid more than three years before transfer are long term and those within three years are short term, and allocation of the refund between LT and ST components may be done pro rata or by rate of return apportionment. If holding exceeds thirty six months, indexation applies to instalments as cost (with later payments treated as cost of improvement in their payment year). Discussion-Forum Income Tax Thu, 16 Oct 2014 12:43:01 +0530 https://www.taxtmi.com/forum/issue?id=107485