https://www.taxtmi.com/caselaws?id=13683 A purchaser's enforceable right under an agreement to obtain conveyance of immovable property is a capital asset within the Income-tax Act. When that right is surrendered in a compromise for monetary compensation, the extinguishment and relinquishment of the right amount to a transfer under the statutory definition. The receipt is therefore chargeable to capital gains tax, and the earlier view that such extinguishment was outside transfer no longer applies after Grace Collis. The Tribunal was thus incorrect in treating the amount as not exigible to capital gains. en-us Mon, 21 Feb 2005 00:00:00 +0530 Fri, 22 May 2026 11:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=13683 A purchaser's enforceable right under an agreement to obtain conveyance of immovable property is a capital asset within the Income-tax Act. When that right is surrendered in a compromise for monetary compensation, the extinguishment and relinquishment of the right amount to a transfer under the statutory definition. The receipt is therefore chargeable to capital gains tax, and the earlier view that such extinguishment was outside transfer no longer applies after Grace Collis. The Tribunal was thus incorrect in treating the amount as not exigible to capital gains. Case-Laws Income Tax Mon, 21 Feb 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=13683