Assessee Inherited Residential Property (property was purchased before 2001) from Her mother alongside her 4 siblings in the year 2003.In November 2004, after mutating it in their own names, all the 5 co-owners siblings entered into Collaboration agreement (JDA) with a builder to demolish the existing structure on land and develop an all-new structure comprising of Basement Floor, Ground Floor, First Floor and Second Floor. Development took place and completed in November 2005 and as per the collaboration agreement, all the 5 aforesaid Sibling including Assessee they had received second floor plus exclusive terrace right along with 30% share in Land. Basement, Ground Floor and First Floor was taken by the builder in lieu of the funds spent by him in construction having 10%,30% and 30% Share in Land respectively.
Immediately after construction (in December2005 to January 2006) the builder sold all the three Floors(BF,GF,FF) which was received by him. All the Four Sibling released/relinquished their respective rights in the Second Floor in the favour of the Assessee. Now Assessee becomes the sole owner of the 2nd Floor.
Now in May 2019 Assessee owner of Second Floor and Other owners of Basement floor, Ground Floor and First Floor entered into Joint Development Agreement with a new builder. Completion certificate received February 2021 and as per agreement Assessee receives a floor plus some monetary consideration.
In order to compute the Capital gain on such transaction (i.e. JDA entered in May 2019) problem arises in respect of the computing the Cost of Acquisition. How the Cost of Acquisition is to be taken in this case. Can we take the FMV of Second Floor as on the November 2004 as cost of acquisition or any other way.
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