Ltcg on transfer of right for redevelopment to builder

Dear Sir,

Assessee became owner of Residential Property which is taken on Lease for 54 Years (From 1950 to 2004) from Bombay Municipal Corporation(BMC). Now BMC transfers ownership in favour of Assessee few years back.

And Assessee transfer the right for Redevelopment in favour of Builder. Builder will pay 1 New Flat and Some Monetary consideration for it.

Now what shall be the cost of asset for Assessee while determining LTCG for Monetary Value received ?

Market Value as on 01.04.1981 can be considered as Cost of the asset for Indexation purporse ?

Thnaking You.

Replies (5)

Yes, market value as on 01-04-1981 can be taken as cost of assets

What was the cost of transfer of ownership ?

Its just the Nominal Charges paid at BMC office.

Say for Ex. only registration charges.

Market Value as on 01.04.1981 will be cost to the Assessee.

Can anybody confirm this ?

In my opinion, its value will be the nominal charges paid to BMC as prior to transfer of ownership assessee was claiming rent paid as expense for the same.

I am not too sure about it. Let's wait for other expert comments.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
27 August 2026
ACCOUNTANT

CHARUPREETI & CO

Noida

Graduate (Any)

View Details
Company
Featured 12 September 2026
Assistant Manager - Finance & Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
17 August 2026
Chartered Accountant with US GAAP Experience

Austin Med Solutions Pvt Ltd

Bengaluru

CA

View Details
Company
ARTICLESHIP 26 August 2026
CA Article Assistant/CA Drop Out/Accounts Executive

PARV & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 17 August 2026
Article Assistant

K R Kiran Kumar & Associates

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 17 August 2026
CA Article Trainee

ASC Group

Noida

CA Inter

View Details
Company
08 September 2026
Audit Executive

Thammana & Associates

Srikakulam

B.Com

View Details