INCOME TAX25 Sept 2026
Flat possession delayed? You can claim interest even after accepting keys, rules Allahabad High Court | Mint
The Allahabad High Court has ruled that accepting possession of a delayed flat does not by itself waive your right to claim interest for the delay period. It also held that RERA, the real estate law, sets no fixed limitation period for such claims. So homebuyers can still seek interest. Keep your agreement, payment receipts and correspondence safe, since each case depends on its facts.
Key Statutory Highlights
- The Lucknow bench of the Allahabad High Court said that accepting possession of a flat after a long delay does not automatically waive a buyer's right to seek interest for the delay period.
- The court also ruled that the Real Estate (Regulation and Development) Act, 2016 does not prescribe a specific limitation period for seeking interest on delayed possession.
- In this case, the homebuyer booked a flat in 2010 with possession promised by November 2012, but the developer offered possession only in May 2017, without an occupancy certificate.
Actionable Advice for Taxpayers / Founders:Keep your allotment letter or sale agreement, payment receipts, the promised possession date and all correspondence with the developer safely. If you accepted a delayed flat, speak to a qualified professional to check whether you can still claim interest, since the outcome depends on your facts and documents.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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