We had booked a flat in “The Lake District” located at Kondhwa, Pune in February 2010. While the agreement stated a completion period of 2 years from the date of project commencing which was April 2010. Even after the grace period of 6 months mentioned in the agreement i.e upto October 2012, we are yet to receive the possession of the said flat. There exists a clause of penalty @ 9% interest on the amounts paid by us, however we haven’t heard anything from the builder on the same either. The building although constructed however the site is far from handing over as internal work of the flat is still pending while the site still lacks basic amenities for living. The site is 110 acre project & this is the state of Phase-I construction. The builder is extending date of completion by 3-6 months every time we write back to him asking status.

We have paid 98% payment towards the said flat since October 2012 & since the flat is not handed over by the builder & no completion certificate is available, we cannot even claim Income tax benefit being salaried personnel. The loss thus is towards income tax benefits of Rs.1 lac per year (Total 2.5 lacs approx. over period of 30 months) + Rs.9 lacs approx. towards interest of 9% for Rs.40 lacs paid approximately towards the property.

We expect the following; 1. Handing over of the said property at the earliest. 2. As mentioned in the agreement 9% interest towards amounts paid towards the flat which is Rs.9 lacs approx. 3. Loss of Income Tax benefit due to delayed possession amounting to Rs.2.5 lacs In total financial relief of Rs.11.5 lacs approx. + handover of the flat along with completion certificate.

Regards,
140360.3