The stock held in the trade can only be considered transferred during the year in which the notator executed the result of the sale by transferring the stock to the trade, and not if the notator gave the owner a common development stock. As has already been argued in the above cases, the provisions of Section 2, paragraph 47, point v) would apply only to the asset and not to the asset in the trading. In this case, it is clear that, since the auditor has reached an agreement with the developers for the transfer of the property, he has returned the property which, in the meantime, has built dwellings on it and also has 20.00 lakhs in cash, it is difficult to consider that there was no transfer to Section 2 (47). It was clearly a transfer that generated capital gains. An agreement between a landowner and a real estate developer to build new projects is called the Joint Development Agreement. In a common development of the capital, the owner carries out construction and legal work, while the owner of the land makes the land available. In the real estate sector, the model of the Development Agreement [DA] or the Joint Development Agreement [JDA] has developed as a popular agreement in which landowners and developers enter into a common development agreement for the development of real estate. As a general rule, under this type of agreement, instead of landowners who abandon their land in favour of the developer by general proxy (GPA), to develop/build the same thing at the developer`s expense and know-how, a financial consideration or not in the form of a lump sum consideration or a certain percentage of the proceeds of the future sale of the project to be developed, or even a certain percentage of the built-up area in the future project or a mixture of it Sometimes the developer would give the landowner a lump sum in the form of a refundable deposit upon JDA`s entry. When the development/construction period is over, the built land is given to the owner in the form of housing/commerce, etc., which is allocated to him, which he can keep for personal use or even rent or sell to potential buyers. Mr.B concludes a joint development agreement with M/s. XYZ Developers Pvt Ltd on 01/04/2018 and hands over the property to M/s. XYZ Developers Pvt Ltd on the date and as a result of such an agreement, Sir.B is authorised to 4 apartments out of a total of 10 apartments and in addition to dwellings an amount of Rs.500000/- and for the project in question, certificate of completion will be issued by the competent authority on 01/05/2019. (i) the handover of the land to the developer for development and construction of the developer only applies if a registered contract is executed.

Without being supported by the various positive/unfavourable judgments as above, it is necessary to independently analyze the particular facts and circumstances of each case and to be sufficiently careful in the development of the development agreement and the planning of general cases, so that the evidence is given priority, without the courts leaving to the content of the parties` formal/actual intentions. When the landowner transfers the land as a commercial portfolio under the JDA, instead of certain % of the built-up area (housing, stores, etc.) that must be purchased from the developer and are prepared to sell the same thing as a commercial stock in the future, the applicability of the relevant accounting standards/ICDS must be carefully considered, in addition to the guarantees described above. It is generally accepted that there may be several steps or events in a joint development agreement between the landowner and the real estate developer. To determine the actual date of land transfer by the landowner, all these phases/events must be collectively analsysed and after the devaluation of the overall effect of the land, we can determine the actual date of transmission.