https://www.taxtmi.com/caselaws?id=275027 In a joint development arrangement, capital gains arise when effective possession is transferred to the developer, not when the builder later states that constructed area is ready for handover. Here, vacant possession became available only after tenants were vacated in an earlier year, so the taxable transfer event, if any, could not be attributed to the reassessment year. Because the reassessment rested on the incorrect assumption that the developer's readiness to hand over the constructed portion created a fresh transfer, the reopening lacked a valid basis and was unsustainable. The reassessment was therefore held invalid, and the capital gains were not taxable in the year under appeal. en-us Fri, 25 May 2018 00:00:00 +0530 Sat, 15 Sep 2018 10:05:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=275027 In a joint development arrangement, capital gains arise when effective possession is transferred to the developer, not when the builder later states that constructed area is ready for handover. Here, vacant possession became available only after tenants were vacated in an earlier year, so the taxable transfer event, if any, could not be attributed to the reassessment year. Because the reassessment rested on the incorrect assumption that the developer's readiness to hand over the constructed portion created a fresh transfer, the reopening lacked a valid basis and was unsustainable. The reassessment was therefore held invalid, and the capital gains were not taxable in the year under appeal. Case-Laws Income Tax Fri, 25 May 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=275027