[Pulpmeister]

My preference is something like this:

in the TOC, say

Chapter 1

In the text, chapter number and heading say

1: The Darkness and the Deep

or

Chapter 1:
In which I discover gold, and Pirates Discover Me

I link from TOC number to the number of the chapter with heading.

(If I am dealing with a short story collection, I always prefer to number the stories in the TOC and the body of the book, so much easier typing just 01 instead of the full story title, or an abbreviation of it. Less chance of typo error and bollixing up the links.)

Mind you, I do things the hard way: I use my ancient copy of Dreamweaver and HTML, doing the links manually. I know there are better ways, I've tried them; but I've been using Dreamweaver for many years now and it so much easier to stick with what you know thoroughly.