In the pre-Section 45 (5A) scenario, some cases confirmed the transfer of land-based placements in the year the JDA intervened, not taking into account various JDA clauses that related to the contrary. In addition, the court has sometimes continued to ignore the action of the assessor of converting assets into stock into trade, confirming the transfer as the transfer of capital alone, which changed the entire tax scenario. To extend it, there are judgments in which, taking into account the facts and circumstances of the case, the appeal authorities have treated the date of registration to the JDA as the date of transformation of the capital`s assets into SIT, without the notator voluntarily entering his books! (see: ACIT vs. Medravathi Agro Farms P. Ltd. (supra), TejPratap Singh vs. ACIT (Supra), etc.] Some of the representative cases are divided below: Acquisition cost for determining the capital gains from the subsequent sale of the share of the developed property – Total value of the consideration according to art.45 (5A) – 11000000/- for the other 3 dwellings. Section 45 of the Income-tax Act, 1961 – Capital gains – (By converting assets into shares in trading) – Valuation Year 2008-09 and 2009-10 – Assessee companies bought n.A. 2002 – On 30.12.2005, it transferred this land to a real estate developer through a development agreement – Instead of such a transfer, 27 per cent of the built-up area was in the form of dwellings/bunglows, which were then sold to various purchasers – the revenues from the transfer of land through the development agreement and the subsequent sale of dwellings and bunglows were to be calculated in accordance with the provisions of section 45, paragraph 2. Given that 27 per cent of the built-up area was taken into account by the expert in return for the transfer of 73 per cent of the land area, the construction costs of this 27 per cent area could reasonably be considered a fair market value of 73 per cent of the area, in order to calculate the capital gains generated to assess the transfer of land through a development agreement, which at the same time led to the transformation of capital in exchange for trade. This capital gain should be taxed pro-rata in the hands of the valuation-eligible company if the shares held in the form of dwellings and bunglows consisting of built land and pro-rata shares are sold, while the amount that goes beyond the costs of these dwellings and assets would be taxed as business income in the hands of the valuation company.