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What does extinguishment of right mean? How does it amount to transfer?


Sai Teja

Sai Teja

CA Foundation

12K+

04-Mar-21 19:50

32

Answers (6)

Best Answer

But Relinquishment of right is also same??

Relinquishment is used in terms of giving up an asset. Extinguishment is in terms of rights. Nature may be similar. Just that law covers all possible scenarios.


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Mar-21 20:03

It is explained in class clearly. Did you not understand?


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Mar-21 19:51

It is explained in class clearly. Did you not understand?

I will watch it again sir...


Sai Teja

Sai Teja

CA Foundation

12K+

04-Mar-21 19:53

Say you booked a property by paying advance. Now you have entitlement to buy the property. The seller wants to sell to someone else. He offers you some amount to give up the right to buy property. This is extinguishment of rights. The amount that you receive will be subjected to capital gains.


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Mar-21 19:55

But Relinquishment of right is also same??


Sai Teja

Sai Teja

CA Foundation

12K+

04-Mar-21 19:58

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