Property resale - which date is considered as sale date

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Neeraj

Self Employed

26 Points Posted on 07 November 2012

Hi,

I have a query for property Resale Date for tax and indexation calculation purpose.. For example:

A. 1 Jan 11 - Getting into agreement with buyer for Sale with Token amount Signing agreement on stamp paper

B. 1 Mar 11 - Signing Sale agreement with 40% payement

C. 1 Apr 11 - Complete payment and Registration of property by buyer

Question is : From the above three dates which date should be used for tax calcuation (which year tax should be paid) and indexation. Agreement happened in one FY and Registration happened in next FY.

Regards,

Neeraj

Replies (2)

CA MAYUR THAKKAR

Propritor

43 Points Posted on 10 November 2012

1st January ,2011 should be considered for the purpose for calculation of tax and indexation.

Neeraj

Self Employed

26 Points Posted on 11 November 2012

Thanks.

In that case will the property purchase date will be the date of Sale Agreement or Date of Registration, if the property is created from the builder. In between the date of Agreement and Date of registration there is a difference of 2 years.

Some of my other friends told that for govt purpose, it is the registration date and value of registration which matters.. be it purchase or sale.