PAYMENT OF EMI BY DEVELOPER DURING CONSTRUCTION PERIOD TO FLAT BUYER

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consultant
77 Points Posted on 18 February 2022

CAN REIMBURSEMENT OF EMI/INTEREST  TO FLAT BUYER BY DEVELOPER DUE TO DELAY IN COMPLETION OF THE PROJECT BE TREATED AS REVENUE EXPENDITURE. IF ANY CITATION/RFEFERENCE

THANKS IN ADVANCE

 

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On 18 February 2022 at 12:43 Report
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Finance/Compliance Consultant
69131 Points Posted on 01 July 2026

For the developer, EMI reimbursement is generally not treated as a standard revenue expenditure but rather as a balance sheet liability. For the buyer, compensation for delayed possession is typically taxed as "Income from Other Sources." Always consult a tax professional to evaluate your specific agreement, as rulings and interpretations can vary.

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On 01 July 2026 at 10:14

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