Capital gain related query

dear sir

let me present situation

Mr. X owns a land and he entered into development agreement with some contruction company to construction apparments in place by demolishing old structure. in return he gets 50% flat from developer.

now the question is whether the 50% flat is recd is taxable in capital gains or business income?

and when it is actually taxed? i mean whether in the year of completion of contruction or sale of flat by owner?

 

Replies (2)
It will not be the business income but the Capital Gain in the hands of X. To be paid in the year of receipt of his 50 pc share amount
It will not be the business income but the Capital Gain in the hands of X. To be paid in the year of receipt of his 50 pc share amount

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