In any domain name Transfer process, there are three entities involved:
<ul>
	<li><em>Domain Name Owner (Registrant)</em></li>
	<li><em>Gaining (New) Registrar</em></li>
	<li><em>Losing (Current) Registrar</em></li>
</ul>
Typically, a domain name is transferred sometime before its Expiry, in order to renew it with the Gaining Registrar. This results in one year getting added to the domain name's Expiry Date. The charges for this one year are collected by the Gaining Registrar. There is, however, a case when it seems as if this one year is <em>not</em> added during the Transfer process.
<div><strong>Note</strong>
<ul>
	<li>Basically, if a domain name expires, it is <em>not</em> deleted immediately. The Registrar of the domain name must <em>explicitly</em> delete the name <em>within</em> 45 days or else it is deemed to have been renewed. This period of 45 days is called the <em>Auto Renew Period</em>.

If during these 45 days, the Registrant renews the domain name with the Losing Registrar and then transfers the name to the Gaining Registrar, then the domain name will <em>lose</em> the year that was added with the Losing Registrar while renewing the domain name.

Example:

Suppose a domain name <em>expires</em> on 1st Jan 2001 with Registrar A.
<ul>
	<li>On 3rd Jan 2001, (after the domain has expired) you renew the domain with Registrar A for a year. This will make the <em>Expiry Date</em> as 1st Jan 2002.</li>
	<li>Now on 10th Jan 2001, if you Transfer this domain name to Registrar B, this is what will happen:
<ul>
	<li>The Transfer will add one year to the domain name's Registration term (Expiry Date will be 1st Jan 2003).</li>
	<li>If there has been any Renewals in the 45 day Auto Renew Period, those years will be removed (Expiry Date will be reset to 1st Jan 2002).</li>
</ul>
</li>
</ul>
</li>
	<li>While a year is indeed added upon Transfer of the domain name, the Expiry Date does not appear to reflect it. This happens since the year added upon Renewal with the Losing Registrar is credited back to the Losing Registrar by the Registry.</li>
</ul>
</div>
Precautions recommended when transferring your domain name, if you have renewed it with the Current Registrar post Expiry:
<ul>
	<li>Do <em>not</em> Transfer the domain name to another Registrar, during the 45 day Auto Renew Period immediately after the Expiry Date of the domain name.</li>
	<li>However, if you have already done the above mistake, then the <em>only</em> recourse is to obtain a refund from the Losing Registrar for the Renewal that you have paid them. There is little scope of getting it considering, most Registrars may <em>not</em> understand this issue or may <em>not</em>have a Refund Policy.</li>
</ul>