Yearwise indexation for ltcg

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Vimleshshah (Querist)
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07 February 2017 Sir,OUR BHARAT DIAMOND BOURSE STARTED A OFFICE PROJECT IN BKC,MUMBAI,IN 1992 AND ONE OFFICE PREMISE WAS ALLOTTED TO ME.THERE WAS INORDINATE DELAY IN COMPLETING THIS PROJECT.I HAVE PAID INSTALMENTS AS AND WHEN CALLED STARTING FROM 1992 ON WARDS TILL 2007 WHEN COMPLETE PAYMENT WAS MADE.REGISTRATION WAS DONE IN 2010.IF I SELL THE OFFICE NOW CAN I CLAIM INDEXATION BENEFIT YEAR ON YEAR FROM 1992 WHICH OBVIOUSLY WILL BE MORE BENEFICIAL TO ME THAN TAKE INDEXATION OF 2010 WHEN PROPERTY WAS REGISTERED.THANKING YOUVimlesh Shah

CA DHAVAL MISTRY

CA DHAVAL MISTRY (Expert)
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08 February 2017 For calculation of capital gain, index cost of acquisition is to be taken in which property has been bought by an assessee. Purchase transaction of property occurred when the rights and entitlement of property is transferred by seller to the buyer. In case of immovable property, it is presumed that rights and entitlement is transferred to the buyer when the registration of property is done. So, in your case, you can take the year of acquisition as 2010 and not 1992.

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