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let us tell you about joint development agreement a new type of development transaction this is a very old property located in a prime location a builder sees this property and comes up with an offer for the owner of the property he's willing to pay rupees 25 lakhs cash directly and also provide two new flats in the apartment that is going to be constructed in the place of the existing property the owner is satisfied that the offer is beneficial for him so they close the deal and sign an agreement the possession of the property is given to the Builder and the building construction begins and so a brand new apartment is built in that place construction is completed two flats are given to the owner by the Builder two flats are eaten by the Builder and four flats are sold to the outsider to recover the costs and the entire exercise is completed and now for the taxation bit of the transaction capital gains is calculated by reducing the purchase cost or acquisition cost from the full value...
