| 1. |
If I purchase an immovable property what I have to do to get it registered ? |
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The following steps are involved in registration process.
- You have to ascertain the market value of the property to calculate the stamp duty, transfer duty, and registration fee payable on the instrument. The market value assistance counter in Sub Registrar (CARD) office will provide these particulars if you furnish the details of the property in whose jurisdiction, the property is situated.
- Basing on the market value of the property you have to purchase the stamp paper. You can purchase the stamp papers at sub registrar office where stamp counters are existing or from the licensed stamp vendor.
- Then the document has to be written and executed in the presence of two witnesses.
- Necessary enclosures have to be enclosed to the document.
- The document has to be presented to concerned Sub Registrar in whose jurisdiction the property situated.
- Then the Sub Registrar will scrutinise the document regarding classification of the document and payment of proper stamp duty etc.
- You have to pay the deficit stamp duty, if any.
- The executant (Seller) should appear before the Sub Registrar and admit execution of the document. The two witnesses are required to be present before the Sub Registrar to authenticate the identity of the executant (Seller).
- The SR endorses the admission of execution after following office procedures and he will add registration certificate on the document itself. Then the document will be returned to the claimant (Purchaser) or to his authorised agent.
- In CARD office the document will be returned within 1 hour after presentation before the Sub Registrar
- In non CARD office the document will be returned on the fourth day.
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| 2. |
How to know about the Market Value of a property? |
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You can contact the concerned Sub-Registrar Office where the subject property is located and verify the Market Value in the M.V. Guide line registers made available to the Public. In computerized offices, we have a separate counter for Market Value Assistance from which you can know the Market Value. |
| 3. |
Is it compulsory to register an agreement of Sale? |
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As per the amendment made to the Registration Act w.e.f. 1-5-1999. it is compulsorily registerable. |
| 4. |
How to know about the Stamp duty and other duties if any to be payable if I want to go for registration of immovable property in computerised offices? |
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All the details of stamp duty, transfer duty and the registration fee can be obtained in the check slip from the Market Value Assistance Counter in the Sub-Registrar's Office |
| 5. |
How to get the same information if the property is situated in non-computerised office ? |
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You can directly approach the Sub-Registrar to know the information on stamp duty, transfer duty and registration fee to be paid. |
| 6. |
Where to present a Document for Registration? |
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Documents relating to immovable properties in A.P. shall be registered in A.P.Only at the following offices.
- In the Sub-Registrar Office under which the property is situated.
- In the District Registrar office of the Registration District under section 30 of Indian Registration Act 1908.
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| 7. |
What are the annexures to be enclosed in the case of agricultural land registration? |
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- Patta transfer application.
- Title deed and pattadar pass book as required under ROR Act.
- If the value of properties exceeds 5 lakhs Income Tax Clearence Cerificate from the Income Tax Department.
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| 8. |
What are the annexures to be enclosed in the case of registration of Non-agricultural properties like Sites and Buildings? |
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If Site is Situated in areas covered under ULC Act, clearance/ permission from ULC.
- In the case of building Annexure I-A duly stating particulars of plinth area.
- In the case of Building falling in ULC area Part-I and Part-II declarations, affidavits &Tax Receipts.
- Income tax clearance certificate under Sec.230-A of IT Act 1961 where property value exceeds Rs.5 lakhs and No objection certificate (if value exceeds Rs. 20 Lakhs and property is located in Municipal Corporation of Hyderabad) as per Sec.269-UC of IT Act.
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| 9. |
What are compulsorily registerable documents? |
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Mainly all documents relating to sale, exchange, gift, gift settlement, partition, mortgage, lease, agreement of sale, consent (iqbal) decrees, etc., of immovable property of the value of one hundred rupees and above are compulsorily registerable. (Vide Section 17(1) of the Registration Act,1908).
The remaining categories of documents mentioned in Sec.18 of The Registration Act 1908 are optionally registerable
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| 10. |
Is it necessary to incorporate full description of the property in the documents? |
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Yes. The full description along with the four boundaries of the property to which a document relates shall invariably be set forth in the document. It should be with reference to the Survey No./Town Survey No./ House No. and the village/Street/Locality, etc., and four boundaries. All the details necessary and sufficient to locate and identify the property should be furnished (Sections 21 and 22). |
| 11. |
Are there any time limits prescribed to get the documents registered? |
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Yes.
- All documents, except wills, shall be presented for registration within four months from the date of execution (Section 23).Section 25 of the Act. provides for condonation of delay upto four months on payment of a fine not exceeding ten times the registration fees (Section 25).
- Section 34 prescribes four months time to the executant for appearance before the registering officer to admit execution thereof. The Registrar may condone the delay in appearance upto four months on payment of a fine not exceeding ten times the registration fees. (Section 34).
- Wills can be presented at any time before any Registrar or Sub-Registrar, by the testator, or after his death by any person claiming as executor or otherwise.
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| 12. |
Can a document relating to the immovable property situated at Vizag be registered at Hyderabad? |
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No. As per Section 28, every document mentioned in Section 17(1); clauses (a) to (e) of Section 17 (2); and clauses (a), (b),(c) and (cc) of Section 18 shall be presented for registration in the office of the Sub-Registrar within whose sub- district the property or a portion of the property is situated.
The remaining documents may be presented for registration either in the office of the Sub-Registrar in whose Sub-district the document was executed, or in the office of the Sub-Registrar at which all the parties to the document desire the same to be registered (Section 29).
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| 13. |
Is a power of attorney compulsorily registerable? |
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No |
| 14. |
Is a power of attorney valid if attested by a notary, authorising the agent to execute documents for registration? |
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Yes |
| 15. |
Is a "Power of Attorney" irrevocable? Whether it can be regarded as a tittle deed? |
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No power of attorney can be irrevocable, though the document is named as such. The Principal can cancel the power at any time. The power of the agent ceases automatically in the event of the death of the principal.
No power of attorney can, by itself, effect any transfer of property. Therefore it cannot be regarded as a title deed.
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| 16. |
Recently agreements of sale have been made compulsorily registerable. Can they be treated as title deeds? |
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No. the agreements of sale cannot be treated as title deeds, although they are compulsorily registerable. Any agreement of sale of immovable property will give a right to its holder to obtain a sale deed in his favour as per its terms and conditions. Registration will enhance its evidentiary value and credibility. |
| 17. |
Suppose 'A' sold his property to 'B' on 1.8.1997 and received consideration on the same day. 'A' executed a sale deed in favour of 'B' on 1.1.1998 and presented it for registration on 1.7.1998. The document was registered on 31.10.1998 after the delay in presentation was condoned by the Registrar. From which date the document operates? |
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The document operates from 1.1.1998. |
| 18. |
What are the effects of non-registration of compulsorily registerable documents? |
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Any compulsorily registerable document shall not (a) affect any immovable property comprised therein; or (b) be received as evidence of any transaction affecting such property, unless it is registered (Section 49). Every registered document shall take affect against any oral agreement or any unregistered document pertaining to the same property, whether movable or immovalbe (Section-48). |
| 19. |
What are the requirements under the other Acts, which have a bearing on registration of documents? |
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The following are the pre-requisites under the other Acts, for registration of documents falling under caluses (a) to (e) of Section 17(1):
| REQUIREMENT |
PROVISION |
1.Income Tax Clearance Certificate (if value of property exceeds Rs.5 lakhs) |
Section 230-Aof the I.T.Act,1961 |
2.No objection certificate (if value Exceeds Rs.20 lakhs and property is Located in Municipal Corporation of Hyderabad) |
Section 269-UC of the IT,Act,1969 |
| 3.Clearance or Acknowledgement Issued by SO&CA, ULCs (if it is a Transfer of vacant land within the ceiling Limit by a non-surplus holder in an Urban Agglomeration) |
Sec.26 of the UL(C&R)Act,1976 |
4.Exemption granted by the Govt.in the Case of a transfer of excess vacant land In an Urban Agglomeration |
Sec.20 of the UL(C&R)Act,1976. |
5.Permission Acknowledgement of the SO&CA, ULCs in the case of a Transfer of land with a building in an Urban Agglomeration by an excess Land holder. |
Sec.27 of the UL(C&R)Act,1976. |
6.Declarations, affidavits and tax receipts In the case of transfer of land with a Building in an urban agglomera by a Non-surplus holder. |
Instructions issued by the Government of India in their memo no.1437/UC - I/84-10 dt.7.2.97 |
7.Declaration in the case of agricultural Land . |
Sec.19 of the A.P., land Reforms (Ceiling on Agricultural Holdings) Act, 1973. |
8.Permission of the collector in the Case of transfer of assigned land. |
Sec.5 of the A.P., Assigned lands (Prohibition of Transfer) Act,1977. |
9.Permission of the Agent (Collector) In the case of transfer of property in Scheduled/Agency areas. |
Sec.3 of the A.P.,Scheduled Areas Land Transfer Regulation, 1959. |
10.Pass Books and Title Deeds in the Case of transfer of agricultural land. |
Sec.6-B of the A.P.,Rights in Land and Pattadar Pass Books Act,1971. |
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| 20. |
What are the rates for preparation of documents by a licensed Document Writer? |
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A maximum fee of Rs.50/- is payable for preparation of a document along with all the forms, annexures, etc., required for the purpose of registration. The Document Writer has to issue a receipt for the fees collected by him. |
| 21. |
Can a registering officer refuse registration of a document if it is brought to his notice that the executing party has no right to execute it? |
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No. As per Rule 58 of the Registration Rules Registering Officer is not supposed to enquire into the validity of document or to attend to any written or verbal protest against the registration of document based on the ground that the executant has no right to execute the document. |
| 22. |
How to register a WILL? |
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Wills can be registered in any Sub-Registrar office where the testator (executant of the will) resides. |
| 23. |
When the "WILL" has to be presented in the Sub-Registrar office? Is there any time limit as in the case of other documents? |
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No time limit for presentation of will to register |
| 24. |
How to deposit a WILL? |
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Wills can be kept in a sealed cover and deposited with the District Registrar for safe custody. Persons authorized may after the death of the testator apply for opening of the will and get it registered. |
| 25. |
How to get the document registered in CARD Office? |
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All documents presented for registration under CARD shall be accompanied by an input form. |
| 26. |
Where the input forms are available? |
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Input forms are available free of cost at 'May I Help You' counter in all the CARD Offices. |
| 27. |
Is there any special method or procedure to prepare a document for registration through CARD? |
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The writing of the document shall be legible, written and signed in DARK BLACK INK so that it is fit for proper scanning. |
| 28. |
How to know about the Stamp Duty, Registration fee to be paid for registration of the document? |
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Basing on the particulars filled in input form, Registration Check Slip will be issued at "Registration Counter" there in, all details will be given to the Party. |
| 29. |
Where the deficit Stamp Duty if any and Registration fee to be paid? |
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Deficit Stamp Duty (paid in the form of cash) and the Registration fee can be paid at the 'Cash counter' on proper receipt. |
| 30. |
What time it will take to deliver the document in CARD Offices? |
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The registered document will be returned within 60 minutes after presentation to the Registering Officer. |
| 31. |
What is FSI? |
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Floor Space Index (FSI) means the quotient of the ratio of the combined gross floor area of all floors excepting areas specifically exempted under these Regulations to the total area of the plot.
Can premises already encumbered to a bank be leased out to a Company with a high deposit and in case of a default who holds the first lien? And will the Company/Occupant be evicted?
Yes premises already encumbered to a bank can be leased out to a Company with a high deposit. However you may require the No-Objection of the bank. If the deposit monies are with you and in case if you default on payment to the bank, obviously you will continue to hold the deposit money. The Co./occupant can be evicted only if there is a provision to that effect in the lease Agreement.
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| 32. |
What is TDR? |
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Rule 34 of the Development Control Regulations for Greater Bombay, 1991 defines TDR which stands for Transferable Development Rights as under: ‘In certain circumstances, the development potential of a plot of land may be separated from the land itself and may be made available to the owner of the land in the form of Transferable Development Rights. These rights may be made available and be subject to the Regulations in Appendix VII hereto. Appendix VII lays down the rules for the grant of Transferable Development Rights to owners/developers and conditions for grant of such rights:
- The owner (or lessee) of a plot of land which is reserved for a public purpose in the development plan and for additional amenities deemed to be reservations provided in accordance with these Regulations excepting under certain conditions shall be eligible for the award of TDR in the form of Floor Space Index (FSI) to the extent and on the following conditions set out below. Such award will entitle the owner of the land to FSI in the form of a Development Rights Certificate (DRC), which he may use himself or transfer to any other person.
- Subject to Reg.1 where a plot of land is reserved for any purpose specified in S.22 of Maharashtra Regional and Town Planning Act, 1966 the owner would be eligible for DR’s to the extent stipulated in Rules 5 & 6 in this Appendix after the said land is surrendered free of cost or after completion of development.
- TDR’s will be available only for prospective development of reservations.
- DRC’s will be issued by the Commissioner himself giving details of FSI credit.
- The built up area for the purpose of FSI shall be equal to the gross area of the reserved plot to be surrendered. 6.When the owner or lessee also develops or constructs the amenity on the surrendered plot at his cost, he may be granted a further DR in the form of FSI equal to the area of the construction/ development done by him.
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| 33. |
How do I determine the property tax on the rent received as I have given the premises on higher rent to a Company? Are there any guidelines set by the BMC? |
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The calculation of property tax on rent cannot be generalized and depends on various factors, but however if the premises are rented out to banks, companies, multi-nationals, etc. who are exempted from the provisions of the Maharashtra Rent Control Act, 1999 by virtue of Section 3(1) (B) of the Act then the rates of property taxes could be as high as 60% or so. If the premises are rented out to others, who are protected under the Rent Act, the Mumbai Municipal Corporation cannot charge taxes on the actual rent and have to base their taxes on Standard rent defined under the Act, which is, in most cases lower than the actual market rent. |
| 34. |
Do I need permission of the Society to keep a Paying Guest and are there any extra society outgoings I need to bear? |
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Yes, you need permission of the Society for keeping a Paying Guest. It depends on the Society byelaws and rules. Some Societies keep asking for extra outgoings by way of Non-Occupancy charges. |
| 35. |
If I want to sell a flat and buy a new flat in a bigger area. What are my tax implications especially with regard to capital gains? |
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On the proposed sale of your flat you may purchase another flat within two years of the date of sale of the original flat. If you have invested the entire amount of capital gain irrespective of your area of the flat, you would not have to pay any capital gains tax. |
| 36. |
When a flat is gifted to a daughter what are the legal implications regarding:
- Title- and how is this established.
- Gift tax- is it leviable and if so when?
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If one has gifted a flat to his daughter one should have the gift deed drawn out which should be witnessed by two persons. In case of both the donor and the donee it is preferable to register the said gift deed even if the flat is in a co-operative society. Stamp duty would have to be paid on the gift deed, which would be the same as in case of the sale of a flat. However, there is no gift tax applicable. The gift deed would be the title document indicating the gift to the daughter along with the share certificate if it is in a co-operative society. |
| 37. |
How to appeal for reduction of property tax if you are an individual in a society? |
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If property tax has been levied which you feel ought to be reduced, you should write to the society stating your reasons for the same. The society would take up the matter with the Municipal Authorities and have the same reduced if the same is justified. |
| 38. |
Is it safe to give ownership flat for leave and license? What are the problems if I give for a longer period? |
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Yes, it is safe to give ownership flat for leave and license provided an agreement has been entered into to that effect and the same leave and license agreement has been registered with the Competent Authority under the Maharashtra Rent Control Act, 1999. |
| 39. |
Some residential and commercial properties, which I own are occupied by people who are not paying rent and also not vacating. I require help in solving such problem? |
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In those residential and commercial properties owned by you and occupied by people who are not paying rent you may serve a notice in writing to the tenants for demand of the standard rent in the manner provided in Section 106 of the Transfer of Property Act, 1882 (IV of 1882) and after expiry of 90 days and the rent has yet not been submitted by the tenants you may then file a suit for eviction of the tenants under the Maharashtra Rent Control Act, 1999 and recover possession of the tenanted premises under Section 16 of the said Act. |
| 40. |
If the landlord does not repair or maintain property, staircase, terrace and the tenants want to do, can they and can they deduct rent from the landlord if he does not share? |
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If the landlord does not repair or maintain the property, the tenant could after giving sufficient notice to the landlord do so carry out repairs which are necessary and deduct the cost thereof from the rent. |
| 41. |
Do we require permission from the landlord for taking separate water connection, tank etc. ? |
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Yes, you do require permission from the landlord for taking separate water connection, tank etc. |
| 42. |
How can we evict tenants who do not pay or have made changes in their flats? |
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You can evict the tenant who is not paying rent or who has made permanent alterations/additions in the premises by giving him notices to this effect as required under law and proceed against the tenant in a Court to evict him. |
| 43. |
What are the formalities required to be completed by foreign citizens of Indian origin for purchasing residential immovable property in India under the general permission? |
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They are required to file a declaration in form IPI 7 with the Central Office of Reserve Bank at Mumbai within a period of 90 days from the date of purchase of immovable property or final payment of purchase consideration alongwith a certified copy of the document evidencing the transaction and bank certificate regarding the consideration paid. |
| 44. |
Can such property be sold without the permission of Reserve Bank? |
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Yes. Reserve Bank has granted general permission for sale of such property. However, where another foreign citizen of Indian origin purchases the property, funds towards the purchase consideration should either be remitted to India or paid out of balances in NRE/FCNR accounts. |
| 45. |
Can sale proceeds of such property if and when sold be remitted out of India? |
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In respect of residential properties purchased on or after 26th May 1993, Reserve Bank considers applications for repatriation of sale proceeds up to the consideration amount remitted in foreign exchange for the acquisition of the property for two such properties. The balance amount of sale proceeds if any or sale proceeds in respect of properties purchased prior to 26th May 1993, will have to be credited to the ordinary non-resident rupee account of the owner of the property. |
| 46. |
Are any conditions required to be fulfilled if repatriation of sale proceeds is desired? |
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Applications for repatriation of sale proceeds are considered provided the sale takes place after three years from the date of final purchase deed or from the date of payment of final installment of consideration amount, whichever is later. |
| 47. |
What is the procedure for seeking such repatriation? |
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Applications for necessary permission for remittance of sale proceeds should be made in form IPI 8 to the Central Office of Reserve Bank at Mumbai within 90 days of the sale of the property. |
| 48. |
Can foreign citizens of Indian origin acquire or dispose of residential property by way of gift? |
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Yes. Reserve Bank has granted general permission to foreign citizens of Indian origin to acquire or dispose of properties up to two houses by way of gift from or to a relative who may be an Indian citizen or a person of Indian origin whether resident in India or not, subject to compliance with applicable tax laws. |
| 49. |
Can immovable property held in India, be transferred by way of gift to relatives/registered charitable trusts/organisations in India? |
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Yes. General permission has been granted by Reserve Bank to non-resident persons (foreign citizens) of Indian origin to transfer by way of gift immovable property held by them in India to relatives and charitable trusts/organisations subject to the condition that the provisions of any other law, including Foreign Contribution (Regulation) Act, 1976, as applicable, are duly complied with. |
| 50. |
Can they dispose of such properties? |
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Yes. |
| 51. |
Can sale proceeds of such property be remitted out of India? |
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Yes.Repatriation of original investment in respect of properties purchased by foreign citizens of Indian origin on or after 26th May 1993 will be allowed to be remitted up to the consideration amount originally remitted from abroad provided the property is sold after a period of three years from the date of the final purchase deed or from the date of payment of final installment of consideration amount, whichever is later. Applications for the purpose is required to be made to the Central Office of Reserve Bank within 90 days of the sale of property in form IPI 8. |
| 52. |
Can the properties (residential/commercial) be given on rent if not required for immediate use? |
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Yes. Reserve Bank has granted general permission for letting out any immovable property in India. The rental income or proceeds of any investment of such income are eligible for repatriation. |
| 53. |
Can NRIs obtain loans for acquisition of a house/flat for residential purpose from authorised dealers/financial institutions providing housing finance? |
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Reserve Bank has granted general permission to certain financial institutions providing housing finance e.g. HDFC, LIC Housing Finance Ltd., etc., and authorised dealers to grant housing loans to non-resident Indian nationals for acquisition of a house/flat for self-occupation subject to certain conditions. The purpose of the loan, margin money and the quantum of loan will be at par with those applicable to housing loans to residents. Repayment of loan should be made within a period not exceeding 15 years out of inward remittances or out of funds held in the investors‘ NRE/FCNR/NRO accounts. |
| 54. |
Can Indian companies grant loans to their NRI staff? |
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Reserve Bank permits Indian firms/companies to grant housing loans to their employees deputed abroad and holding Indian passports subject to certain conditions. |
| 55. |
Can authorised dealer grant housing loan to non-residents of Indian nationality where he is a principal borrower with his resident close relative as a co-obligant/guarantor or where the land is owned jointly by such NRI borrower with his resident close relative? |
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Yes. General permission has been granted by Reserve Bank to non-resident persons (foreign citizens) of Indian origin to transfer by way of gift immovable property held by them in India to relatives and charitable trusts/organisations subject to the condition that the provisions of any other law, including Foreign Contribution (Regulation) Act, 1976, as applicable, are duly complied with. |
| 56. |
What particulars must 'Deeds of Apartments' under the Apartment Ownership Act contain? |
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Deeds of Apartments must contain the following particulars, namely:
Description of the land as provided by Section 11 of the Act or the post office address of the property, including in either case the liber, page and date of executing the Declaration, the date and serial number of its registration under the Registration Act, 1908 and the date and other reference, if any of its filing with the competent authority.
The apartment numberof the apartment in the Declaration and any other data necessary for its proper identification.
Statement of the use for which the apartment is intended and restrictions on its use, if any.
The percentage of undivided interest appertaining to the apartment in the common areas and facilities.
A true copy of every Deed of Apartment shall be filed in the office of the competent authority.
Housing Society? What should be the contribution from members towards Sinking Fund? When can the amount collected for Sinking Fund be spent by the society?
The purpose of collecting Sinking Fund is to accumulate and keep sufficient funds with the society so that the property of the Society i.e. building can be reconstructed in future. The contribution to Sinking Fund is a statutory obligation. Sinking Fund has to be contributed as decided by the General Body of the Society. It should be at least @1/4 per cent per annum on the cost of the each flat excluding the cost of the Land. On the resolution passed at the meeting of the General Body of the Society and with the prior permission of the Registering Authority, the Sinking Fund may be used by the Society for reconstruction of its building/s or for carrying out such structural additions or alterations to the building/s as in the opinion of the Society's Architect is required for carrying out such heavy repairs as may be certified by the Architect. However permission is not usually granted by the Registrar to withdraw amounts from the sinking fund.
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