transfer of title validity and taxation
Querist :
Anonymous
(Querist) 04 August 2010
This query is : Resolved
dear all
i am facing a issue , i.e, two AGPA holders have executed Development agreement cum GPA in favour of one developer @ 60% to AGPA Holders and 40% to the Developers and now the developer wants to sell his share. if the developer sells his share is it valid sale and transfer made is valid in the eye of law. my another query is that what would be the procedure to transfer the developer share which is valid in the eye of law. members its an urgent matter to solved please answer this query as soon as possible. sir i have another query pertaining to same issue i.e. if the agpa holders as vendors and developer as confirming party transfer the flat in the name of the purchaser, then the amount payable shall be paid to vendor or developer, if paid to vendor , then what is the position of developer in taxation point of view, because he had invested amount for developing the property. kindly clarify in taxation point of view.
thank you in advance
s.subramanian
(Expert) 30 October 2010
If there is a clause enabling the developer to assign his rights under the agreement in favour of third parties,sale by him would be valid. Otherwise such a transfer would be illegal and not binding on you. With regard to the sharing of proceeds,it depends the terms of the agreement between you.
