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Special Story – the Maharashtra Co-op.

Housing Society

CA Manilal Simaria

Stamp Duty & Registration
Provisions pertaining to Sale & Purchase of Flats
STAMP DUTY ON SOCIETY AND ITS MEMBERS
UNDER MAHARASHTRA STAMP ACT, 1958
Type of tax : Stamp Duty
Stamp Duty is one type of tax which has to be
paid to the State Government. It is payable on
instruments and not on transactions. The deinition
of the term instrument is very wide. There are 62
types of instruments which attract stamp duty
under the Maharashtra Stamp Act, 1958 (The Act).
In addition to it there are 9 types of instruments
that attract Stamp Duty under Indian Stamp
Act, 1899. The payment of proper Stamp Duty
on instruments bestows legality on them. Such
instruments get evidentiary value and are admitted
as evidence in Courts. The instruments which are
not properly stamped are not admitted in evidence
by the Court.

Valuation of Stamp Duty for flat and
Conveyance in Society
1.
The Government Authorities on every
31st December publish the Stamp Duty Ready
Reckoner for every next calendar year which
determines the market value of the property.
The valuation factors as contained in reckoner
has very wide impact on market value of property.
2.
The digitized copy of various zones are
also published in the Ready Reckoner so that the
general public are able to easily ind out the market
SS-VI-91

value of the property. The market value of the
property is linked to CTS, City Survey Number and
the Village zone, and sub-zones where the property
is situated.
3.
The total area of Mumbai is divided in to 124
Zones and also further in to sub-zones. Basically
the Ready Reckoner consists of 7 columns. The irst
column mentions the zones and sub-zones. The second
column mentions description of property along with
CTS Number. The third column mentions the rate of
open land. The fourth column mentions the rate of
residential premises. The ifth column mentions the
rate of ofice premises. The sixth column mentions the
rate of shops and commercial premises. The seventh
column mentions the rate of industrial premises. There
are additions (premium) and reductions (concession)
as per valuation factor, for example in case
multi-storey building or tower addition is to be made
for lift.
4.
Now let us analyse how an individual
would know the market value of his property.
To begin with the person has to go through the
property card of that property. The property
card would mention the village as well as the
CTS number where the property is situated
from zone, sub-zone CTS no. and area, one can
know the stamp duty rate per sq. mtr. of that area.

The Chamber's Journal April 2013

107

certiicate issued by the Municipal Corporation. To give relief to such old buildings. Up other pakka to Structure Rate of Depreciation for Semi . meter to sq. However. meter by 10.. divide the sq..Provisions pertaining to Sale & Purchase of Flat Depreciation – The rate of depreciation for old structures (3) 1.to ind out the market value of the property through the process of adjudication. penalty for stamp duty on immovable property a) Rates of Stamp Duty The rates of Stamp Duty are shown in 62 Articles of Schedule-1. To convert Sq. feet..pakka or kachha Structure 0-2 Nil Nil 2-5 5% 5% 6-10 10% 15% 11-20 20% 25% 21-30 30% 40% 31-40 40% 55% 41-50 50% 70% 51-60 60% 80% Above 60 years 70% 85% 2. even after deducting depreciation value so arrived is less than the developed land value.2.. Adjudication If the parties have any doubt with regards to the valuation of the property then before presenting the current or old document for registration or otherwise. appended to the Mumbai Stamp Act. For old flat/building/property. Telephone Bill. they can apply to the Collector of Stamps on payment of adjudication fees of ` 100/. Stamp duty should be always calculated on built-up area. feet by 0..2. concept of super built-up area is done away with. 1899. if above two documents are not available.e.. Feet into Sq. other evidences for year of construction may help to determine the value after depreciation. Prospective purchasers are advised that they should submit the document to the Stamp authorities in advance. Further if value arrived at as above. Notes on valuation while allowing Depreciation : (1) Valuation is to be done as per market value less deducting above percentage as depreciation according to the age of building and types of building as per above chart.. Society letter.. Built-up area = Carpet Area X 1. Light Bill..0929 and from sq. the Stamp Duty rates in respect of instruments covered under the Indian Stamp Act are indicated in the Schedule appended to the Indian Stamp Act. To convert carpet area into built-up area multiply it by 1. payment. Similarly. the rates of Stamp Duty varies from instrument to instrument. No adjudication is required for the purpose of providing depreciation. multiply sq.. Meter. i. (2) Stamp Duty is payable on agreement value or market value whichever is higher. then other documents like Municipal Tax Bill. the depreciation is to be allowed on market value in percentage depending upon the age of building as under: age of Rate of Building Depreciation in years for RCC pakka More than Structure/ .Stamp duty & Registration . Rates. It needs to be emphasised that such adjudication can be done on signed and an unsigned agreement also. The valuation is effected by the year of its construction.76. then the valuation should be done as per land plus construction cost method. preferably unsigned agreement so that they can have a clear idea with regards to the Stamp Duty liability. 108 (4) Occupation Certificate or Completion Certificate are required while calculating depreciation. The The Chamber's Journal April 2013 SS-VI-92 . market value is arrived at after giving the effect of depreciation and other valuation factors as per particular year ready reckoner. Yes. Depreciation is allowed on such construction cost.

or part thereof ` 30. (b) if relating to immovable property situated. 1-5-2012 On the true market value of the property – which the subject matter of the Conveyance – is Registration fees payable Registration fees is 1% of Market value of ` 1. I. or the Influence Areas as per the annual statement of rates published under the Bombay Stamp (Determination of True Market Value of Property) Rules 1995.property. With effect from 1-5-1994. treasury. such instruments are not admitted in evidence for any purpose. Mumbai Metropolitan Region Development Authority. InFoRMaTIon FoR STaMp DUTY anD REGISTRaTIon FEES paYaBlE on pRopERTY DoCUMEnTS FoR MUMBaI anD oThER plaCES In MahaRaShTRa Sr. In such case stamp duty is payable on agreement or market value of such lat having Greater/Higher Value. Stamp duty can also be paid by purchasing the stamp. rupees 500 or part thereof.e. One should not forget to give impact of various valuation factors as appear in reckoner which contains Government Valuation factor for that particular year. (3) within the limits of any Grampanchayat area 3 per cent of the or any such area not mentioned in sub-clause (ii). These instruments are liable to be impounded and sent to the Collector of Stamps for recovery of proper stamp duty. B) payment of Stamp Duty Stamp duty can be paid by purchasing the required stamp papers in the name of any one of executors to the instrument. There is concession in stamp duty in exchange of lat in the society. If stamp papers are not purchased in the name of any one executors. These instruments are also treated as not properly stamped. Housing Society stamp duty rate as conveyance of property. the stamp paper has to be purchased in the name of any one or either party to the SS-VI-93 The Chamber's Journal April 2013 109 . clause (ii).000/. affixing the adhesive stamps/ franking/e-payment on the documents. sale deed of immovable property is @ 5% on higher of market value or agreement value in Mumbai. (a) if relating to movable property. It is advisable to get both the agreements registered. market value of the property.Special Story – the Maharashtra Co-op. for every Fifteen rupees. (2) within the limits of any Municipal Councils 4 per cent of the or Nagar Panchayat or Cantonment area annexed market value of the to it.000/whichever is less. Types of documents Stamp duty payable CONVEYANCE (not being a transfer-charged or exempted under Article 59 w. However.f. No. or any rural area within the limits of the property. It can also be paid by way of challans in the Govt. – (1) within the limits of any Municipal 5 per cent of the Corporation or any Cantonment area annexed market value of the to it or any urban area not mentioned in sub. Other agreement can be on ` 100 stamp paper.

the buyer is liable for payment of stamp duty unless it is speciically agreed otherwise. whichever is higher. This had given wide ranging discretionary powers to the authorities. The Chamber's Journal April 2013 SS-VI-94 . However. Party has to pay deficient stamp duty with penalty @ 2% pm. The Collector issues notices to the parties. if it is situated elsewhere. Now with effect from 1-5-2001 penalty at a lat rate of 2% per month is levied by the stamp authorities. the refund can be claimed within 2 years of purchase of stamps. rendered unit for the purpose for which it was purchased and also for other reasons as mentioned in Section 47 of the Maharashtra Stamp Act. prescribes the area wise rates and 110 method of its valuation through Government valuation factors for current year market rate of property area wise for which please refer stamp duty ready reckoner and valuation factor.Provisions pertaining to Sale & Purchase of Flat agreement. Appeal against market value in the court Any person aggrieved by any order determining the market value under the sub-section (3) of Section 31 or under Section 32-A or any other authority imposing any penalty under Section 32-A may within sixty days from the date of receipt of such order by making an application in writing (accompanied by such fee not exceeding rupees one hundred. C) Penalty for insuficient Stamp Duty Earlier upto 30-4-2001 the maximum penalty that could be levied on instruments which was 10 times of the amount of evaded or deicit paid stamp duty. Stamp Duty Ready Reckoner published every year on 1st January. grants them hearing. The refund is granted after proper persuasion follow up and deduction of some money. of Stamp Act. Determination of Market Value The Stamp Authorities have fixed values of properties for calendar year 2013 with effect from 1st January. The Stamp Duty is payable on the agreement value of the property or the fair market value as per stamp duty ready reckoner. in some special cases like when the transaction is impossible to complete due to some legal hitch. The maximum penalty is 200% of the short fall of Stamp Duty amount. D) Refund of Stamp Duty Refund can be claimed when the instruments gets spoiled. allows them to produce evidence. If the parties do not agree with the true market value of the property as determined by Collector of the District they can go for appeal to the Deputy Inspector General of Registration and Deputy Controller of Stamps of the concerned region under Section 32B. Market value of property Market value in relation to any property which is subject matter of instrument means the price at which such property would have fetched if sold in open market on the date of execution of such instrument or the consideration stated in the instrument whichever is higher. The application for refund must be submitted within six months from the date of purchase of stamps to the Joint District Registrar and Collector of Stamps of the concerned district. sometimes even he visit the sites and then inally decides the true market value of the property which is accordingly informed to the parties. as may be prescribed by rules made by the State Government) require the Oficer passing such order to draw up a statement of the case wherein such order is passed and to refer for decision the question of market value of the property in respect of such order has been passed the proper stamp duty leviable thereon and imposing the penalty to following courts. of Maharashtra Stamp Act.Stamp duty & Registration . Generally under section 30. Appeal against the Market Value The market value determined by the Sub-Registrar or Superintendent of Stamps can be challenged by the parties The parties can ask the Sub-Registrar to refer their case to the Collector of the District for determination of true market value and it is binding on the Sub-Registrar to do so when asked by the parties. 2013 for different localities based on the information accumulated by them. [a] To the Bombay City Civil Court if such property is situated in Greater Bombay and [b] To the Court of Civil Judge (Senior Division) having ordinary jurisdiction.

Another circular dated 8th July 1996 has also been issued by the Commissioner of co-operation reconirming/ Disclosure of relevant facts and circumstances Section 28 of the Maharashtra Stamp Act casts the duty on the executants to disclose and truly set forth relevant facts and circumstances in the instruments. on entire area and no FSI is left on plot – then on conveyance deed of the society stamp duty will be only ` 100/-. There may be cases when all members of society has paid proper stamp duty on their old agreement. under the said law as it would be borne by the transfer if so agreed between the parties. Sujata Manohar in the case of Usha Arvind Dongre vs. the stamp duty. However. The transfer of flat under an agreement which is not duly stamped and registered cannot be treated as invalid in view of the judgments given by the Maharashtra Co-op. Thus in view of the aforesaid judgment non-payment of stamp duty and registration charges does not invalidate the agreement. This helps in inding out the types of transactions involved in the instruments which in turn helps in the determination of proper stamp duty payable on such instruments. when subsequently. if any. Indus Co-operative Hsg. which normally takes place after the lapse of time. since nondisclosure of relevant facts and circumstances lead to evasion of stamp duty. Ltd. wherein it was held that. Page 306 wherein it was held that. by which time the market value would have considerably appreciated leading to increase in the amount of stamp duty payable. Duty is not payable on the title or the heading given on the top of the instrument but on the recitals as stated in the instruments. Further in the case of Mrs. Bombay the Registrar has given ruling that non-payment of stamp duty cannot be used as ground for refusing or refraining the admission. conveyance in favour of society is executed in pursuance of such agreement of sale. Suresh R.. Chandrika Mehta vs. On account of the judgment pronounced by Justice Mrs. The circular further goes on to add that the parties should also compulsorily register the lat. Housing Society Stamp Duty compulsory on agreement for sale and its adjustment at the time or conveyance of society Stamp Duty and Registration of agreement for transfer of membership in a Co-operative Housing Societies Under various laws Registration of property is compulsory. the title of the flats in a Housing Society remains with the society and the only right to occupancy of the property lows from ownership to share and such share does not become an immovable property and thus transfer does not require registration. Kotwal 1990 report in M. the society cannot have a concern regarding stamp duty payable for transfer and that cannot be a ground for giving consent to the transfer by the society. Shankar Darshan Co-op. before the Deputy Registrar of Co-operative Societies ‘A’ Ward. Appellate Court in the case of Pravinchand and Meghji Gala vs. if any. Impounding of instruments can be made by collector of stamp's if not properly stamped SS-VI-95 The Chamber's Journal April 2013 111 . the Office of the Commissioner of Co-operation has issued a circular stating that the Managing Committee of the Society should satisfy themselves that the parties have paid the stamp duty. Registration done only when proper stamp duty on such document is paid by such purchaser.J. It is to be noted that the society is not concerned with a penalty or imposition of additional stamp duty. Housing Society Ltd. The willingness to execute an Indemnity Bond for the stamp duty as assured by the appellant appears to be a positive gesture and it is expected to meet a co-operative gesture in reciprocation. However on 18th February 1994. The parties are penalised for not stating true facts and circumstances in the instruments.L. already paid on such agreements by individual member on his agreement will be set off in respect of area on which Stamp Duty is paid towards the total stamp duty leviable on conveyance deed executed subsequently in favour of such society. compared to the amount of stamp duty payable on market value at the time of executing conveyance.Special Story – the Maharashtra Co-op. Payment of proper stamp duty on such agreements which are deemed as conveyances will give the lat and such immovable property purchasers advantage of paying the stamp duty on market value at the time of entering in to an agreement of sale. Soc. Further the agreement cannot be treated as invalid if not registered.

where there are genuine tenancy under litigation normally fetch less than the market value.). The Stamp Authorities will value the property at 112 months rent plus construction cost or the agreement value whichever is higher. 1908 is a Central Act which is common for all the States of India. release deed. Indian Registration Act. rent receipts. Concessional rate of Stamp Duty on lat gifted to family member If the property is gifted to family member being husband. op. These documents includes conveyance deed. in writ petition 1820 dt. Stamp Duty has not to be paid when there is transmission of shares. TDR (as movable property etc. Stamp Duty on legal heirs due to death of member Stamp Duty on transfer of residential lats to tenants There are humangous types of immovable property documents on which stamp duty is properly payable. telephone bill. gift deed. Registration charges are collected for keeping the records of the documents. stamp paper remains valid for a period of 6 months from the date of issue / purchase. In the case of properties which are transferred subject to tenancy the objections should be made to the stamp authorities for allowing concessional stamp duty so that the same may be considered. passport and 1995 voter list etc.. the stamp duty payable such SRA document is just token of ` 100 only. Stamp Act varies from State to State. or any lineal as ascendant or lineal descendant of the donor. power of attorney. registration is quite different. The authorities also insist for electricity bill. Therefore when the lat is transmitted in the name of the legal heir the question of payment of stamp duty does not arise. 112 In case of death of a member of a Co-operative Housing Society and the lat is being transmitted to the legal heir of the deceased member. more particularly referred in article 1 to 62 schedule of Bombay Stamp Act. It is a general view that properties. Document of immovable property covered for registration Validity of stamp paper Provision of section 52B. ration card. Law of Limitation applicable to levy stamp duty for the purchase of flat property in a Co-operative Society. lease deed. 9 of the Act.Stamp duty & Registration . tenancy creation. 17-12-1989 (AIR 1990 Bombay 204) it was held that the transfer of shares in co. Leave & Licence agreement. Stamp Duty on slum rehabilitation approval (SRA) scheme In view of Government notification u/s. to prove the bona ide tenancy. The Chamber's Journal April 2013 SS-VI-96 . In case of Hanuman Vitamis Foods P. The circular dated 8th July. It is a sort of taxing authority. brother or sister of the donor. Ltd. surrender of lease or tenancy. 1958. housing society attracts charges with stamp duty under articles 25(d)(1) of the act. Hence both are totally different. If the sale deed is registered with the Sub-Registrar of Assurances then the Law of Limitation is ten years from the date of registration of the sale deed. 1996 expressly states that stamp duty and registration fee must be paid by the parties. exchange of property. Whereas.Provisions pertaining to Sale & Purchase of Flat clarifying the contents of the circular dated 18th February. It is always better to have will for property in addition to nomination as the nominee is like caretaker or trustee of such property. wife. Stamp duty on Will or transfer of such property by Will is not leviable. development agreement. housing loan agreement. then stamp duty is @ 2% of market value of such property. There is no Law of Limitation applicable for Stamp Duty payment on purchase of flats in a Co-operative Housing Society unless such sale deed is registered with the Sub-Registrar of Assurances. election card. Stamp Duty Department is constituted for collecting the revenue to the treasury of Government. 1994. The paras in the above circulars pertaining to registration appears to be in violation of the provisions of Section 41 of the Maharashtra Co-operative Societies Act. These circulars are referred in Stamp Duty Notiication & Circular Chapter in Stamp Duty Reckoner published by Authors (10th revised edition 2013).

Documents of which registration is optional as mentioned in section 18 of Bombay Stamp Act. etc. its preservation and also notice of such fact to the general public. However. in jail. speciically exempted person not required to attend register office for registration however. (a) plaCE FoR REGISTERInG ThE DoCUMEnTS DEpEnDS Upon SITUaTIon oF SUCh SUBjECT MaTTER oF pRopERTY (SECTIon 28) The documents requiring compulsory registration or optional registration shall be presented for registration in the ofice of a Sub-Registrar within whose Sub-district the whole or some portion of the property to which such document related is situated. (B) ThERE aRE CERTaIn SpECIFIED pERSonS Who Can pRESEnT DoCUMEnTS FoR REGISTRaTIon For example. registrar can visit to such person place of availability and registrar the same documents. Registered document becomes public document. Registration is the process by which the records of such document is preserved and through observing certain procedure which can be made available to the general public by Registrar. 1958 IV. Procedure on admission & denial of execution (Sections 35 & 36) a. Therefore the registration is notice to the general public. Beneiciary. then such oral agreement or declaration will prevail over subsequent registered document. adoption of son. Leave & Licence tenancy Sale/Purchase conveyance of immovable property. assignee or agent legal heirs then such person should admit execution by remaining present. on proper persuasion. Representative. pursuant to any oral agreement or declaration. 1908. Sale. Gift. following documents are required compulsory registration. Exchange. II. The Chamber's Journal April 2013 113 . Registration is function/process of recording the contents of such document in Government record. Assignee. 1908 I. Some important documents requiring compulsory registration under section 17 For example. (Section 32). The term registration is not deined under the Act. 1908 (“the Act”) is notation of facts and contents of documents in the records of registration ofice. mutual fund as trust including property in society must be registered. Power of Attorney holder. V. there are certain exception & exemption provided in the above matter speciied in section 17 for which one has to refer sections 17(1A) and 17(2) of Indian Registration Act. registered non-testamentary document relating to movable or immovable property shall prevail over any oral agreement or declaration. III. However. such document can be inspected and certiied true copy of the same can be obtained by anybody on payment of necessary fees and by observing the prescribed procedure. put thumb impression before the Registering Officer. aDMISSIon oF EXECUTIon & REGISTRaTIon All the persons/parties executing the document should appear personally to sign. It is advisable to put detail schedule of property in agreement to determine the correct value of property. Person with bodily informality. Leases.Special Story – the Maharashtra Co-op. or if appearing by a representative. There are other numerous documents required SS-VI-97 registration. Registration is notice to public Registration of various documents under Indian Registration Act. For example mortgage deposit of title deed will prevail over subsequently registered mortgage deed. Housing Society REGISTRATION OF DOCUMENT UNDER INDIAN REGISTRATION ACT. For example. if under such law delivery and possession of property given is considered as valid transfer. Certain registered document prevails over unregistered document.

but shall at the same time endorse a note of such refusal. document written in Marathi. These are the consequences to be faced by such person under that relevant law. VI. lanGUaGE oF DoCUMEnTS U/s. oRDER oF REFUSal The Sub-Registrar refusing to register a document. unless it has been registered. English or Hindi is to be attached for registration. E.Provisions pertaining to Sale & Purchase of Flat B. assignee or agent may. any person claiming such document as his representative. a. Failure to register the document which is required to register under other legislations or law then in such case all consequences under that law would apply. without payment and unnecessary delay give him a copy of the reasons so recorded. the registering oficer shall nevertheless register it. If any document is duly presented for registration should not be in a language which the registering oficer does not understand. EFFECTS oF non-REGISTRaTIon oF DoCUMEnTS REQUIRED To BE REGISTERED (U/S. an appeal within 30 days of such order can be made against an order of Sub-Registrar refusing to admit a document to registration (whether 114 the registration of such document is compulsory or optional) to the Registrar to whom such SubRegistrar is subordinate. Registrar can refuge registration if any one or more requirements for registration not complied with. 3. the registering oficer shall refuse to register the document unless it be accompanied by a true translation into a language commonly used in the district and also accompanied by a true copy of such document. within thirty days after the making of the order of refusal. 49) Any document requiring compulsory registration u/s. For example. In Mumbai. 17 or by any provision of the Transfer of Property Act. if not registered. 72 U/s. DEnIal oF EXECUTIon & REGISTRaTIon If any such person appears to the registering oficer to be a minor. English & Hindi languages are normally accepted.Stamp duty & Registration . Registration preserves title and interest of purchase in such property. b. 1882. appEal To REGISTRaR aGaInST ThE oRDER oF SUB-REGISTRaR REFERRInG REGISTRaTIon on GRoUnD oThER Than DEnIal oF EXECUTIon U/S. 50). C. D. or Be received as evidence of any transaction affecting such property or conferring such power. Necessity for Registration & effects of non-registration 1. G. 77) Where the Registrar refuses to order the document to be registered. Non-registered document will put the title of the owners over such property in jeopardy & lead to litigations. the registering oficer shall refuse to register the document as to the person so denying. c. If it is in other language then with original document the translated certified copy in Marathi. and property against unregistered documents. 72. SUIT In CaSE oF oRDER oF REFUSal BY REGISTRaR (U/S. F. or Confer any power to adopt. Certain registered documents relating to land and immovable property to take effect. trustees of Mutual Fund Trust The Chamber's Journal April 2013 SS-VI-98 . 19. on application made by any person executing or claiming under the document shall. an idiot or a lunatic. (u/s. 2. no document shall affect any immovable property comprised therein. Registered document has evidential value in court of law. institute case in the Civil Court within the local limits of whose original jurisdiction is situate for the office in which the document is sought to be registered. make an order of refusal and endorse the word “registration refused” on the document and. except on the ground that the property to which it relates is not situated within his sub-district shall. or if any such person by whom the document purports to be executed or is dead and his representative or assignee denies its execution. appearing or dead: If any person admitting the execution of a document refuses to endorse the same. and which is not commonly used in the district.

SMS has to be sent to the respective ofice by stamp duty collector for payment of S. which is subject matter of registration. 1961. As per amendment effected on 25-9-2001 under the Indian Registration Act. 1961. signature and left hand thumb impressions of all concerned parties to execution. The payment of stamp duty and registration of documents in respect of flat. 1-6-2013. 1. 1994. 5. Sometimes. many properties purchased are inanced by borrowing through various inanciers. The agreement should be typed/printed on one side in black ink on 60 GSM paper. shop. Procedure of registration in State of Maharashtra The process of registration highlighted below mainly involves the following steps and submissions of required documents/papers and payment of registration fees to the Registrar Ofice:1. 11. The party has to irst pay the proper stamp duty as per the stamp duty reckoner on blank agreement or on next day of execution of agreement or on same day of execution. failure to which SEBI Regulation will apply. As per the amendment dtd. July 8. etc. February 18. registration is precondition of finance before disbursement of loan. W. With effect from 1-4-2003. It is better to pay the proper stamp duty on or before its execution. 9. the market value calculated for the purpose of stamp duty is accepted by Income Tax Department as base for valuation of property for capital gain computation purpose. Registered documents serves as a proof of payment of proper stamp duty. 1996. 8. 6. etc. under section 50C of Income-tax Act. For such types of inances in respect of property. office etc. One has to comply with the procedure and requirement for registration of immovable property including lat. The Registered document is the notice to the public at large as regard to such and in respect of particular property. 7. shops. Registration is made compulsory in respect of certain immovable properties including transfer of lat in registered co-operative housing society.e. immovable property in co-operative society is advisable. gala. 24-9-2001 in Indian Registration Act. are required to file annual information return SS-VI-99 (AIR) u/s 285 BA of Income-tax Act. as discussed hereinafter. Registration is normally done only after payment of proper stamp duty as regards to those documents. gives direction for registration of such property and transfer of shares. 10.Special Story – the Maharashtra Co-op.f. Union Budget proposes to deduct 1% TDS on purchase of any immovable property having agreement value above ` 50 lakhs. Sub-Registrar require to put photographs. The AIR provides tool for checking of such transaction of immovable property of ` 30 lakhd and above. by collecting visit fees the Sub-Registrar has to visit such place or hospital and complete the registration formalities. Housing Society should apply for registration. commercial premises. To execute the agreement. Procedure to register documents when a person who has executed the document who is due to illness or hospitalisation is unable to visit registrar ofice In such circumstance on perusing the matter to Registering authority. 1908 which speciied that section 53A of Transfer of Property Act.D. Housing loan is financed by banks. The Chamber's Journal April 2013 115 . financial institutions. document executed even in part performance of the contract requires compulsory registration. 4. In recent time. Circular dt. 2. such inancier insists to have earlier chain of documents duly registered before disbursement of loan. 2. Circular dt. VII. VIII. 1908. Registration is a process by which contents of agreement and such fact is recorded in the Government records maintained by the Registrar. The Registrar or Sub-Registrar while registering any agreement for purchase or sale of an immovable property having reckoner value or agreement value adopted is ` 30 lakhs and more. The two circulars issued by the Commissioner of Co-operation and Registrar of Cooperative Society.

12. 2. Two witnesses with their photos and identification proof should remain present for identiication of parties to the agreement for which two witnesses have to put their photo. CTS No. Registration fees are to be paid on value of such property rounded off nearest to rupees in thousands. To complete illing up of input Registration form in Marathi as prescribed by the stamp duty department or Registrar or Sub-Registrar. the following documents are required: 1. 60 along with documents to the SubRegistrar. The input registration form and necessary documents are required to be submitted at token window in advance i. Building Occupation Certiicate (OC) It is advisable that one has to pre-check such requirements and entire procedure with respective Sub-Registrar office. Stamp Duty are to be paid an property value nearest to and rounded off to ` 500. If the party does not have PAN. 4.gov.Stamp duty & Registration . The property card of land/plot on which the property being registered is situated may be called to produce in certain case. (1) Municipal tax assessment bill (2) Completion Certiicate (3) Occupation Certiicate (4) Telephone bill (5) Electricity bill (6) Society letter (7) IOD/CC etc. Property card is required to be produced at the time of registration. Generally. If the building is completed before March 25. Any proof of determination of market value will help to facilitate the calculation of true market value. 1991 in addition to above proof out of following is to be attached : i. IOD/CC (Commencement Certiicate) of building OR ii.. In respect of old building to avail the beneit of depreciation on market value then the attachment of following proofs will help to avail depreciation on age of building.e. based on number of pages 116 in documents are to be paid at ` 20/.maha. (PAN) of all the parties to the documents is mandatory. In case of document of property having value above ` 5. The detailed letter from society showing the The Chamber's Journal April 2013 SS-VI-100 .per page for scanning fees in cash at the time of registration of document. To visit www. Building Completion Certiicate OR iii. Visit any Sub-Registrars office of that Taluka (According to village) who will determine registration fees payable and issue the Challan/ conirms to accept the pay slip. Book your token (by phone or through internet). etc. 8. For proof of authorise structures. as appears on the property card provides help to determine true market value of property. 9. Sometime Registrar calls information from collection of the proper stamp duty is paid on such adjudicated document. It is better to pre check at concerned Registrar office the exact procedure and registration fees payable. 7. 11. then to ile Form No. 10. Registrar Ofice does check such submissions. 6. Computer charges/ scanning charges. so there cannot be any inconvenience at the time of registration.igr. 5.000/. at least before half an hour of registration.in for public data entry and enter your data in isarita public data entry module. If the building is constructed / completed on or after March 25. Conirm agreement and its attachments with head clerk/person incharge who will pre-check the documents and satisied with requirement. Such witnesses should not be necessarily same who has signed as witnesses in the agreement.00. Adjudicated document will help in faster registration.Provisions pertaining to Sale & Purchase of Flat 3. signatures and thumb impression before registering authority./survey No. Pay the registration fees by Challan/pay slip of bank along with bank conirmation latter as per procedure laid down by respective Sub-Registrar.Proof of Permanent Account No. For payment of registration fees by government challan or pay-order or bank draft of bank is to be produced. 1991 the property assessment municipality bill is required to be attached.

typed papers/sheets describing name of the seller. 14. The party has to submit the copy of pay order / demand draft/ R. The left thumb impression of all the parties including witness to the document is also taken digitally. total page & number block on each page of such agreement. Before inal registration.Special Story – the Maharashtra Co-op. Registrar also asks to submit declaration (Ghosana Patra) in prescribed format that power of attorney its sum. types of construction C. etc. 16. it is advisable to check such data sheet by party as regard to correctness of typed contents thereon. The complete documents along with all above-mentioned details are then scanned by Registrar office and preserved as a permanent record at Registrar’s ofice. may help to justify the calculation of proper market value of such property. and floor on which flat is located. & Village/Division. Housing Society age of building.S. seal and sign. afixing photographs and thumb impression by web camera inger prints scanner are made compulsory for registration of document as regard to property. buyer and address of property. computer and other charges at ` 20 per page of document are paid by cash towards scanning for which he acknowledges by issuing receipt. 15.. the thumb impression and photographs are automatically generated and printed on separate paper which has photos of both the parties and witness to be further signed by all the executors before Joint Registrar/ SubRegistrar or Joint Sub-Registrar. is generally given to party for inal checking just before registration. In such SS-VI-101 case copy of duly executed power of attorney is to be attached with the agreement which is also to be registered with photo. 17. Sometime. The original agreement after due registration are returned to party by Registrar against sign on delivery of document by register to party and also on production of the original registration fees paid receipt on which Registrar ofice put stamp as delivered. CS no. after which the documents are returned to party within approximately one hour of completion of registration formalities. number of loors of building. challan. survey No. Such witness has to produce his identity proof. Challan for registration fees. built-up area of flat. No. firm proper resolution of Board/Managing Committee/Office bearer as the case may be & such person photos. please refer government valuation factors of respective year. thumb impression and sign. Generally all the parties are supposed to go together for registration. Registration formalities are completed. stamped document.I. Registrar also calls original stamp duty paid receipts. Computerised photographs of parties executing the document and witness are also generally taken digitally by the Registrar’s office. the deicit stamp duty is payable with penalty @ 2% per month or part of the month. details of lift facility available if any. etc. should be authorised by proper resolution. Receipt for Registration fees & scanning charges is issued by Registrar which should be preserved with agreement. The Registrar generally by way of pay slip collects registration fees. 13. Through computer generated programming. Registrations of documents are computerised with effect from 1-2-2002. franking receipt stamp vendors bills e-payment receipt. From 1-1-2002. At last the Sub-Registrar will sign & put page No. With effect from 1-5-2001.B. If loan is taken then authority letter to collect original documents is taken The Chamber's Journal April 2013 117 .T. flat no. The pay order for should be in the name of respective area’s Joint Sub-Registrar or the Sub-Registrar authorised by the department. however they can go at different point of time but maximum time limit within four months of execution of such document. for checking as regard to correctness of data comprised thereon. year of construction. valid and subsist on the day of registration. but maximum penalty not exceeding two times of such deficit amount is required to be paid before registration and proof of such payment of stamp duty and penalty is to be attached at the time of registration of document. substance and contents are in force. In view of above. trust. the documents are executed allow to be registered by power of attorney holder for and on behalf of buyer or seller or builder. For proper valuation. In case of corporate assessee. Pre-check the registration procedure at joint SubRegister ofice which now remain open from 7 am to 9 pm in shifts.

in agreement. Delay in registration may compel to pay stamp duty at current market rate. 31-3-2000. If the vendor dies after signing the document but before registration of such document. for transfer of land. The helpline telephone No. Government or Semi-Government body. The date from which the registration for leave and licence and tenancy agreement made compulsory W. He shall make a noting in the document stating registration refused with regards to the party who has not remained present and can also deliver the document to the party who has applied for registration. measurement of flat/shops etc. In cases of death of vendor the legal heirs of deceased has to comply with the registration formalities. No Objection Certiicate (NOC) from Charity Commissioner. etc. Thereafter the Sub-Registrar of Assurances will issue summons and after giving an opportunity to the person who has not remained present can proceed with the registration formalities. 118 X. one can avail the facility of e-search of registered documents which are registered from January 2002 onwards. Even the tenancy agreement of the Maharashtra Rent Control Act. Registration of leave and licence is made compulsory. Builders have to put all necessary details. on payment of penalty for late presenting the document for registration which can be imposed by the Registrar up to 10 times of registration fees. 18. 20. Now for delay registration of lat beyond 8 months. Now registration fees is payable at 1% of higher of market or agreement value of property subject to maximum fees of ` 30.000/- XI. of Stamp Duty and registration help line in Mumbai With effect from 1-4-2003 Mumbai has honour to start India’s irst stamp duty and Registration help line for Mumbai. has got to be compulsorily registered. Particularly. Now a day’s registration process is computerised and simpliied. Such agreement also must be in writing. in such case it is difficult to complete the formality of registration within 4 months of statutory time limit or during the additional time limit of 4 months. in agreement. IX. XII. The Chamber's Journal April 2013 2 SS-VI-102 . No Objection Certiicate (NOC) under Urban Land Ceiling Act.e. Through e-search in IGR Maharashtra website. If one of the signatories is not willing to attend the office of the Sub-Registrar for completing the registration formalities If one or more of the signatories is not willing to complete the registration formalities then an application has to be made to the Sub-Registrar of Assurances under section 36 of the Indian Registration Act.. The time limit for registration of the document The document is required to be registered within 4 months time from the date of its execution.Provisions pertaining to Sale & Purchase of Flat by banks/inancial institution in such circumstances parties are advised to take index II as well as certiied true copies of document from registration ofice.Stamp duty & Registration . if such land or property land is held by trust/statutory authority as the case may be. (if applicable) irrespective of its area in Mumbai. IGR Pune has issued circular that such person hereto pay stamp duty at prevailing current market rate of stamp duty as per reckoner which is very harsh.e. 19. 1908. Telephone No. Now the builder or developer have to put the approved plan and schedule of property in the agreement and also to write the area i. carpet/ built-up area. If the same is not registered within 4 months time from the date of execution.f. is: 2263 4567 XIII. it can still be registered within further period of 4 months from the expiry of irst 4 months. Further the agreement cannot be executed by the builder/developer before approval of plan by competent authority.