https://www.taxtmi.com/caselaws?id=798676 Tax character of allotment rights in under-construction real-estate units depends on the transaction's substantiated business nature, not book entries alone. Where the units were not shown as closing stock, payments were recorded as loans and advances, and the loss was claimed inconsistently, the rights are treated as capital assets rather than business stock. The resulting loss is therefore long-term capital loss, with indexation and carry-forward treatment available. Interest included in acquisition cost requires fresh examination where conflicting positions exist, after the taxpayer is given an opportunity to provide supporting evidence. en-us Mon, 31 Aug 2026 00:00:00 +0530 Thu, 10 Sep 2026 08:51:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=798676 Tax character of allotment rights in under-construction real-estate units depends on the transaction's substantiated business nature, not book entries alone. Where the units were not shown as closing stock, payments were recorded as loans and advances, and the loss was claimed inconsistently, the rights are treated as capital assets rather than business stock. The resulting loss is therefore long-term capital loss, with indexation and carry-forward treatment available. Interest included in acquisition cost requires fresh examination where conflicting positions exist, after the taxpayer is given an opportunity to provide supporting evidence. Case-Laws Income Tax Mon, 31 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=798676