Send your enquiry
We Promise
Instant Call Back
Virtual Site Visit
Unmatched Price
It is a tax, similar to sales tax and income tax collected by the government. Stamp Duty is payable under Section 3 of The Bombay Stamp Act, 1958. Different amount of Stamp Duty is payable for different type of documents as per Schedule I of The Bombay Stamp Act, 1958. Stamp Duty must be paid in full and on time. If there is a delay in payment of stamp duty, it attracts penalty. A stamp duty paid document is considered a proper and legal document and as such gets evidentiary value and is admitted as evidence in court. Document not properly stamped, is not admitted as evidence by the court.
If stamp duty is not paid on time, it attracts penalty at the rate of 2% per month on the deficit amount of the stamp duty. However, maximum penalty can be only 200% of the deficit amount of the stamp duty. (This amendment has come into force from 01 -05-2001.)
Documents lodged with the sub-registrar/superintendent of stamps prior to any amnesty scheme will attract a lump sum penalty of Rs.250 or Rs.300 only, as the case may be.
It is payable either before execution of the document or on the day of execution of document or on the next working day of executing such a document. Execution of a document means putting signatures on the Document by the persons who are party to the document.
In the absence of any agreement to the contrary, the purchaser/transferee has to pay stamp duty or in case of exchange of properties, both parties have to bear stamp duty equally.
Documents include every instrument by which any right or liability is or purports to be created, transferred, limited, extended, extinguished or recorded but does not include a bill of exchange, cheque, promissory note, bill of exchange, bill of lading, letter of credit, policy of insurance, transfer of shares, debentures proxy and receipt (which is charged under Indian Stamp Act, 1899).
It is payable on instruments and not on transactions. Stamp duty should be charged on the basis of the contents of the instrument only. If any information essential for working out stamp duty is missing in the instrument, valuation officer can call for the same. Information such as the Carpet or Built-up area of the flat, number of floors in the building, year of construction, name of Division/Village and C.S./C.T.S. number of plot of land on which property is situated must be mentioned in the agreement for quicker response.
Except transfer by will (or by original nomination in a co-operative housing society) all transfer documents including agreements to sell, conveyance deed, gift deed, mortgage deed, exchange deed, deed of partition, power of attorneys, leave and licence agreement, agreement of tenancy, lease deeds, power of attorney to sell for consideration etc have to be properly stamped before registration.
In our opinion when a nominee transfers the flat subsequently in the names of legal heirs, that transfer Document is to be stamped as a Release Deed as per Article 52 of Schedule I of The Bombay Stamp Act, 1958.
If you have purchased a flat in a co-operative housing society on or after 10-12-1985 you have to pay the stamp duty on market value as per the Ready Reckoner. A flat purchased through an agreement for sale on or before 09-12-1985 required stamp paper of Rs.5 only. However a flat purchased on or before 09-12-1985 will require stamp duty on market value at the time of conveyance of the property in favour of the society. The concept of payment of stamp duty on market value was introduced from 04-07-1980. Property purchased prior to 04-07-1980 will be charged on agreement value only.
For any flat purchased in a co-operative housing society on or after 10-12-1985, flat purchaser is required to pay stamp duty on market value at the time of signing the agreement itself. However, prior to 10-12-1985, such transactions of agreement for sale required a stamp paper of Rs.5 only at the time of signing the agreement. However stamp duty on market value will have to be paid on all such transactions at the time of conveyance of the property in favour of the society.
From 04-07-1980 onwards, you are required to pay stamp duty on market value of property transferred. This payment is required at the time of execution of the document. However, prior to 04-07-1980 there was no market value concept hence agreement value was accepted for stamp duty payment.
For any flat purchased in a co-operative housing society on or after 10-12-1985, flat purchaser is required to pay stamp duty on market value at the time of signing the agreement itself. However, prior to 10-12-1985, such transactions of agreement for sale required a stamp paper of Rs.5 only at the time of signing the agreement. However stamp duty on market value will have to be paid on all such transactions at the time of conveyance of the property in favour of the society.
From 04-07-1980 onwards, you are required to pay stamp duty on market value of property transferred. This payment is required at the time of execution of the document. However, prior to 04-07-1980 there was no market value concept hence agreement value was accepted for stamp duty payment.
From 01/05/1994 stamp papers are to be purchased in the name of one of the parties to the document.
If the stamp paper is not in the name of the parties and if it is used for preparing the agreement then such agreement will be treated as if no stamp paper was used. However, it will not make the agreement invalid and can be enforced in law if proper stamp duty is paid subsequently.
Prior to 01/05/1994 stamp paper could be purchased in any name and was valid for any period of time. However from 01/05/1994 stamp paper is valid for a period of six months from the date of purchase and after that it is treated as ordinary paper as if it has no stamp.
Stamp duty amount upto Rs..25,000/- can be paid in cash. Amount above Rs.25, 000/- has to be paid by demand draft or pay order. The demand draft”or’pay order should be issued in favour of “Superintendent of Stamps Mumbai”. Along with pay order, now-a-days stamp duty office is also demanding banks confirmation letter stating that the pay order is issued by the bank and will not be dishonored under any circumstances.
To find out the market value of a property and the proper stamp duty amount on it from the Ready Reckoner follow few simple steps as follows.
The Department also does this procedure for you for a nominal fee.
Documents can be adjudicated at the following offices.
Superintendent of Stamps,
General Stamp Office, Town Hall Building,
Ground Floor, Near Horniman Circle, Fort,
Mumbai 400001 .Tel: 22664585
Deputy Inspector General of Registration (Mumbai),
Old Custom House,
Ground Floor, Near Horniman Circle, Fort,
Mumbai 400 023. Tel: 22630742
Deputy Inspector General of Registration (Enforcement),
Old Custom House,
Second Floor, Near Horniman Circle, Fort,
Mumbai 400 023. Tel: 22664508
If the agreement is signed before adjudication, one has to pay stamp duty with interest and penalty as. applicable. However, in the case of an unsigned agreement, one may ignore the adjudication order and close the matter if so desired.
Yes Stamp duty will be the same as applicable to conveyance. However in the case of a gift deed between family members as described above, the stamp duty amount is arrived as per article 25 relating to conveyance or 2% of the market value, whichever is lower. (This amendment is with effect from 1-5-2002).
Stamp duty on non-residential properties whether in a co-operative society or not, is at a flat rate of 10% of the market value.
Stamp duty on residential flats in a co-operative housing society and buildings covered under Article 25(d) of Schedule I of Bombay Stamp Act, 1958, attracts concessional rates depending upon it’s market value. (See Table of Stamp Duty Rates.)
Stamp duty on non-residential properties whether in a co-operative society or not, is at a flat rate of 10% of the market value.
Stamp duty on residential flats in a co-operative housing society and buildings covered under Article 25(d) of Schedule I of Bombay Stamp Act, 1958, attracts concessional rates depending upon it’s market value. (See Table of Stamp Duty Rates.)
There are various authorised stamp vendors from whom stamp paper of the required amount can be purchased and agreement made on them, which is another way of paying stamp duty.
Stamp vendors sell stamp papers of face value up to Rs.10,000. It is to be noted that if a single document requires stamp duty of more than Rs.10,000 and one wants to use only stamp papers for that purpose then he should not purchase stamp papers from Stamp Vendors and should purchase Stamp Papers from .General Stamp Office only. Also take proper precaution before buying high value stamp papers from stamp vendors in view of recent Fake Stamp Paper Scam.
Stamp Duty Ready Reckoner is a public document and is published every year and is easily available in any law book shop.
In some cases of documents executed and registered as follows.
An application for refund should be submitted at the concerned office, along with the original document, from where the stamp paper is purchased as a checklist of refund proposals is maintained at that office
Many people are under the impression that some consultants can help them in reducing the stamp duty. We would like to warn them that this can be done only by furnishing misleading information like wrong C.S./C.T.S. No., less area of premises/flat, longer age of building and a building with a lift as not having a lift. This would prove to be very detrimental and harmful when, in future, they receive a notice from the department for under-valuation due to concealment of facts. Even a registered document can be reopened anytime within ten years from the date of registration and adjudicated documents within six years from the date of adjudication. Please note that writing misleading information in the agreement is an offence under the Stamp Act, which is punishable with fine and imprisonment.
Stamp duty is payable on the market value of property. Market value of any property is determined by the stamp duty Authorities on the basis of the Stamp Duty Ready Reckoner issued by the government every year on January 1. If the consideration amount is higher than the market value, the consideration amount will be treated as market value. However where property is sold or allotted by a government or semi- government body or a government undertaking or a local authority such as LIC, CIDCO, BMC MHADA, the Income Tax Department on the basis of predetermined price, then that value is accepted as market value for the purpose of stamp duty.
Market value in relation to any property which is the subject matter ‘of the Document means the price which such property would have fetched if sold in the open market on the date of execution of such document or the consideration stated in the Document, whichever is higher. However, for payment of stamp duty, market value is the value as worked out as per the Stamp Duty Ready Reckoner or the consideration stated in the Document, whichever is higher. As per a new amendment in the Income Tax act, the market value for the purpose of capital gain tax is the same as the market value for stamp duty payment, which is worked out as per the Stamp Duty Ready Reckoner. Hence it is advisable that the seller should record the actual selling price worked out with the help of Ready Reckoner and avoid under- valuation with the intention of saving capital gain tax.
Stamp duty is payable as per Conveyance Deed on the market value of the property of the greatest value.Generally one copy of Exchange Agreement is made and Registered and then various practical difficulties arise at a later date, like as to who will keep the original, what in case if one of them wants to take the loan against his flat, what if both of them want to take loan from different banks for their respective flats, what if the person having original sells and goes away and new owner does not co-operate with original owner.
Following precautions should be taken to avoid any complications in future.
Stamp duty at the rate of 0.5% of market value of the shares purchased has to be paid on share transfer form, like any other transfer of shares.
Other than this no other stamp duty, registration fees or transfer charges is payable to any authority or society because only shareholder and/or directors of company has changed but company continues to remain and the property of the company remains in the name of the company itself.
Company is legally an artificial juridical person and -is deemed to be like any other living person and can own immovable property in its own name. The property may be a flat or a shop or an industrial gala or a land or anything.
As the company was the owner and will continue to remain the owner in its own name and in its own right of the immovable property, the question of change of ownership of property of the company does not arise and as such there is no transfer of property in the eyes of law.
Shareholders may come and go, even directors may change but a company continues to exist till it is dissolved and till such time any sale purchase of its shares by any body will not effect the ownership of any property owned by the company nor any body will be liable to pay any stamp duty on companys property.
As due to the sale & purchase of companies share there is no change in ownership of properties of company either before or during or of after the sale of shares the question of payment of stamp duty does not arise and hence no stamp duty is payable other than what is mentioned above.
The publisher of this ready reckoner, The Architects Publishing Corporation of India (Tel: 2883 5510, 2883 4442),Jhave published these rates and they may be contacted for further details.
One should refer ready reckoner of the year in which property is purchased so as to arrive at proper market value for payment of stamp duty on old agreements.
They have also published a book on market value as on 01 -04-1 981 in Mumbai, for capital gains tax purpose.
As per section 17(1) & Section 17(1 A) of The Registration Act, 1908, various documents relating to transfer of movable and immovable properties are required to be registered. Registration is legal formality wherein the document, which is required under the law to be registered, undergoes the following procedure by the Sub-Registrar of Assurance of the respective district. After completion of these procedures, the document is regarded as being registered.
The Sub-Registrar of Assurance does the following:
Except in case of transfer of shares of a co-operative housing society and housing limited company where registration is optional, virtually in all cases of transfer of immovable property like family arrangement, agreement to sell, conveyance, gift deed, lease deed (above one year), leave and licence agreement, tenancy agreement, declaration deed, mortgage deed, exchange deed, power of attorney to sell for consideration etc has to be registered compulsorily under Indian Registration Act 1908 otherwise the proper legal title will not pass on td the purchaser/transferee i.e. the title will be defective if registration of the document is not done.
It should be normally in English, Hindi, Marathi and Gujarati only.
If a particular document is required to be registered under the act and is not registered then as per Section 49 of The Registration Act, 1908, that document becomes inadmissible in the court of law. In other words it loses its legal validity in the eyes of law.
Documents lodged for registration prior to October 1, 1995 are sent to Pune, after it is indexed, for microfilming and then only it is returned to the party, which may take a few years. All the documents lodged for registration on and from October 1, 1995 are returned to the party within a few days of indexing the same because only the photocopy is sent to Pune for Microfilming. After February 1, 2002, when the registration process was computerised, normally documents are returned on the same day within half an hour.
The above mentioned procedure is one of the reasons but the major reasons due to which the document remained pending at the office of sub-registrar and not being indexed and not returned to the owner, are as follows:
The above deficiencies were always pointed out at the time of registration by way of remark (such as MV, 230A, 37-1, NOC, ADM) on the registration receipt itself but due to ignorance, owners have never cared to clear them and hence documents have, over the years, got accumulated in the office of the Sub-registrar.
With effect from 17/08/2000 Sub-registrars are accepting documents which do not have any of the deficiencies mentioned under point (a) to (d). However deficiency relating to non-admission is tolerated and the document is accepted and kept pending for admission only.
Note:
The registration fee is a fee for the service provided by the sub- registrar’s office, of recording and storing the document for years together and in proper condition. If one does not pay registration fees, he will not be able to register the document and will be deprived of these services but there is as such no penalty for non- payment as is the case in stamp duty. So whenever a person goes for registration he is charged the same registration fees as is chargeable on his document on the date of registration and no interest etc. is charged. However one must keep in mind that when one goes for registration after four months and before eight months of execution of document he is charged a penalty which could be up to 10 times of registration fees. This is the penalty for delay in presenting the document before the registrar and is not a penalty for non-payment. Normally this penalty is charged at the rate of 2.5 times of the registration fees per month for delay beyond the permissible 4 months.
The Registration fees is one per cent of the market value or Rs.30,000, whichever is less in case of documents pertaining to sale or conveyance. This is applicable from 01-04-2003 to date. However, for documents lodged with sub-registrar during 01-04-1997 to 31-03- 2003 the maximum fee was Rs.20,000 and for documents lodged with the sub-registrar during 01-09-1995 to 31-03-1997 the maximum fee was Rs.10,000 and for documents lodged with the sub-registrar during 01- 01-1984 to 31-08-1995 this fee was maximum Rs.5,000 and also documents lodged with sub-registrar prior to 01-01-1984, the fee was maximum Rs. 250. Therefore if a document is lodged on above respective periods the registration fees will be maximum up to what is indicated for that period even if it is was kept pending at sub-registrars office and is indexed now.
Registration fees is payable by Government Challan or Pay-Order and Computer Service charges is to be paid in cash at the time of registration ( See Table of Registration Offices). Computer service charges at the rate of Rs.20/- per page is charged in addition to above Registration fees. i.e. if document to be registered is of property with market value of Rs. 35,00,000/- and having 30 pages then total registration fees plus service charges would be Rs.30,000/- + Rs.600/- = 30,6007- of which amount an official receipt would be issued. It is advisable that exact cash amount should be paid at registration counter in our own interest.
A document should be correctly stamped as per the Stamp Duty Ready Reckoner so as to confirm that proper stamp duty has been paid. Stamp Duty Ready Reckoner is a public document and is available for inspection at sub-registrars office, it is easily available in the market in any law book shop and it is also available with M/s The Architects Publishing Corporation of India, the publishers of this book.
For registering documents relating to property, one should go to their respective Registration Office along with, original document and one photocopy. The document must be printed or typed on one side only and in black colour. Photocopy should be taken on only one side of paper and paper should be of 90 GSM thickness and there should be butter paper in between two sheets of the photocopy.
Apart from a properly executed and fully stamp duty paid document which is to be registered following other documents are also required before registration procedure is started.
If property sold / purchased is in old building and benefit of depreciation is claimed on Market value then any one of the following documents is to be produced as a proof of old construction.
Note:
Token No. is at present given on telephone two working days prior to the intended date of registration. This facility is available at all Registration offices except at the office of Joint Sub-Registrar of Assurance, Borivali-3. We hope that the same facility will be available at this office in near future.
In case a person is unable to attend the office of Sub-registrar on medical grounds then he should apply to sub-registrar through a duly authorised representative stating the fact. Sub-registrar is bound to visit such person after office hours i.e. morning 9.00 am to 10.00 am and in evening 5.00 pm to 6.00 pm. That person shall admit execution in presence of that Sub-registrar, affix his photograph and sign and put his thumb impression on the document. Sub-registrar will take the document along with him and complete all the formalities and process of registration.
The document should be registered within four months from the date of the execution. If the document could not be registered within four months, then it can be registered within an additional period of four months after paying penalty as imposed by the sub-registrar. Penalty can-be legally upto 10 times of registration fees.
If more than eight months have passed since execution of documents and if it is to be registered then one should prepare a deed of confirmation and the said document should be attached as an annexure to the deed of confirmation. One should register the deed of confirmation to which the original agreement has been annexed. Original document must have been fully stamped and penalty upto the date of registration/adjudication must have been paid. In case the document is more than one year old then one should get his document adjudicated for proper payment of stamp duty along with required penalty and only after that he will be able to get his document registered as explained above.
In such unfortunate circumstances there are two options.
One must approach the concerned Sub-Registrar and make the required application at his office.
In case the document/search report/Index II copy required is relating to period prior to 01-02-2002 then the same will be available with in 7 days of making application.
In case the document/search report/ Index II copy required is relating to period after 01 -02-2002 then the same will be available on the same day of making application between 5.00 P.M. to 5.30.P.M.
Many government registered valuers need to know the market value in Mumbai as on 1-4-1981 for capital gain w. tax. For this they rely on Index II register maintained by sub-registrar, which in may cases are torned, mutilated and unreadable, as such they find it difficult to get the correct information. In this connection a publication titled Indian Valuers Directory and Reference Book incorporating Market value of Property in Mumbai as on 1-4-1981 is published which could be relied for such information
Office timings of Sub-Registrars are 10.00 am to 5.45 pm.
If all above conditions are fulfilled then Marriage Registrar shall register the Marriage and issue the Marriage certificate.
If all above conditions are fulfilled then Marriage Registrar shall register the Marriage and issue the Marriage certificate.
Offices of Marriage Registrar of Mumbai City District and Mumbai Suburban District are as follows :
Office of Marriage Registrar of Mumbai City District,
Ground Floor, Old Custom House, Near Horniman Circle,
Shahid Bhagat Singh Road,
Fort, Mumbai 400 023.
Tel: 22263076
Office of Marriage Registrar Mumbai Suburban District,
Ground Floor, MHADA Bhavan, Opp. Kala Nagar,
Bandra East,
Mumbai 400 051.
Tel: 26592622 / 26592877 Extention No. 479.
Under 1st Proviso of Section 139(1) of the Income Tax Act, popularly known as ONE BY SIX SCHEME, a person is required to file his return in Form 2C, if he lives in Mumbai ;and occupies immovable property having FLOOR AREA of 600 Sq.Ft. for residential premises or 100 Sq.Ft. for non-residential premises.
Floor Area means complete area of flat including toilet, kitchen, balcony but excluding area covered by all the walls in the flat.
If Immovable Property is sold within 3 years from the date of purchase any gain there-from is treated as short term Capital gains and treated as normal income but if Immovable property is sold after 3 years from the date of purchase any gain there-from is treated as Long term capital gains and tax at the rate of 20 % is charged. But if the capital gain is invested as per Income Tax Act, 1961, then the capital gain is exempt. Please note with effect from 01-04-2002 Capital gain amount will be arrived after assuming sale consideration to be the Market Value decided by The Stamp Authority as per Stamp Duty Ready Reckoner. Hence one should not under value the sale consideration with the intention to save the capital gains tax.
Interest paid upto Rs.1,50,0007- per year is allowed as deduction from the house property income under 2nd Proviso of section 24 of the Income Tax Act. Further Under Section 88 amount of interest or capital paid upto Rs.20,0007- (excluding expenditure allowed under section 24 above) is allowed for purpose of the rebate on income tax.
If alternate accommodation provided is residential premises, then benefit of section 54F would be available and no tax will be payable. In case where alternate accommodation provided is a non-residential premises then Market Value of alternate accommodation will be considered as capital gains in the hands of person receiving alternate accommodation and if it is short term capital gain he will have to pay the tax as per normal income but in case it is long term capital gains then he has the option to invest from his personal resources the amount of Market Value of the alternate accommodation in specified securities under Section 54EC, within 6 months, to save the tax.
It is a certificate Under section 230A of Income Tax Act to be obtained by Seller/ Transferor of Immovable Property if value of that Immovable Property exceeds Rs. Five Lakhs. However with effect from 01-06-2001 this certificate is no more required.
It is a certificate to be obtained Jointly by Seller & Buyer (i.e. Transferor & Transferee) of Immovable Property, if apparent consideration for transfer of immovable property located in the area of Greater Mumbai exceeds Rs.75,00,0007-. However with effect from 01-07-2002 this certificate is no more required.
As per new model by-laws No.38(e)(iv) of the society any member applying for membership must submit a rcoy of agreement of purchase duly stamped as per stamp duty ready reckoner of market value of flats in Mumbai.
However, if stamp duty is not paid as per reckoner, the same should be adjudicated by the collector of stamps. In view of “Stamp duty paid agreement” being one of the requirements for membership, society must insist on the same if it has adopted new model by laws.
It is not required to be registered. Society cannot refuse to transfer the share if the agreement for sale is not registered.
A Member cannot transfer his interest in the capital/property of the said society unless he has held the same for one year, not strictly adopted in real sense. This is because while finalising the rates some places it is increased or decreased depending on the locality. As such one should not check or calculate the printed value on the basis of percent increase or decrease because in many cases it will differ in the final document. Under such circumstances we will get some discrepancy in Ready Reckoner released by government.
This book deals with the valuation of immovable property which is under Municipal Corporation of Greater Mumbai. Immovable property has been divided under various heads which we have referred to as Flats. Hence one should make sure under which head his property is covered.
Every instrument of Conveyance prior to 4th July, 1980, accepted for registration, was charged with Stamp duty & registration fees on the consideration recorded in the instrument. But in view of amendment made in section 32A of the Bombay Stamp Act 1958, with effect from 4th July, 1980 all the instruments were subject to market value concept for the payment of stamp duty. In order to facilitate the working of market value government adopted various methods of valuation. As such all conveyances on or after 4th July, 1980 have to pay stamp duty on market value before it is finally indexed.
It will be necessary to clarify here that even on flats in co-operative housing society purchased on or after 04/07/1980 and before 10/12/1985 will have to pay stamp duty at market value concept. Hence it is wrong notion that those who have purchased flat before 10/12/1985 will pay only stamp duty of Rs.5/- which is in the form of stamp paper used for this agreement. Relevance of 10/12/1985 was only to postpone the payment of stamp duty, till the date of conveyance, and it should not be taken as exemption to payment. On or after 10/12/1985 stamp duty is charged at the time of making of agreement itself whereas on all earlier agreements it will be charged at the time of conveyance in favor of society.
Mumbai city is divided as follows:
MUMBAI CITY DISTRICT : Mumbai City District is from Colaba to Mahim / Sion and consists of 19 Revenue Divisions.
MUMBAI SUBURBAN DISTRICT : Mumbai Suburb is from Bandra to Dahisar and from Kurla to Mulund and consists of Andheri Taluka, Borivli Taluka and Kurla Taluka, each having 35 revenue villages. Andheri Taluka is from Bandra to Andheri, Borivli Taluka is from Jogeshwari to Dahisar & Kurla Taluka is from Kurla to Mulund.
Various types of properties are as follows.
As per section 69(1), 69(2)(d) & 69(3) of the Bombay Stamp Act, 1958, State Government is empowered to make rules to carry out generally the purpose of this Act including matters relating to the manner of ascertaining the true market value of the immovable property and notify it in the official gazette. Accordingly the state government has made certain rules regarding ascertaining the true market value of the immovable property called “THE BOMBAY STAMP (DETERMINATION OF TRUE MARKET VALUE OF PROPERTY) RULES, ‘l995, vide Notification No. Mundrank. 1095/493/CR-77/M-1, dated 14th August, 1995, whereby it has laid down certain guidelines to be followed while valuing the property for charging stamp duty . These rules specify [1st Proviso to rule 4(6)] that when State Government or Central Government including Income Tax Department or Semi-Government authority including BMC, CIDCO, MHADA, MIDC or MSEB decides value of property during purchase or sale of property then that value is to be taken and value as per reckoner should not be calculated and stamp duty should be charged according to government decided value. Further under section 31 (3) “Collector” is bound to follow above rules to value immovable property and further under section 32A(4) Collector of District is also bound to follow above rules to value immovable property for the purpose of charging stamp duty.
For e.g. Under Urban Land Ceiling Act Builder is bound to sell some of the flats to those persons as directed by government department (Home Ministry department) as per value decided by the government, hence value for such transaction should always be the value decided by the government department and not the value calculated from the Reckoner.
If a Charitable Trust wants to sell or purchase any immovable property, it must obtain necessary permission from the Charity Commissioner, under Bombay Public Trust Act, 1950, before entering into the agreement. Such permission is generally granted after complying with formalities of advertisement in newspaper and auction/tender procedure and valuation report from the government approved valuer. In our opinion above value approved by the charity commissioner should be accepted as final market value, and for that matter Valuation approved by any government department should be accepted as final market value. However on a the basis of a circular and valuation factor attached to reckoner issued by department the stamp duty and registration department is not accepting the value given by the charity commissioner, even though he is an government authority, and charge stamp duty on market value decided by them as per reckoner giving the reason that as charity commissioner has no separate cell for valuation of property hence this benefit is not available to value given by charity commissioner.
Under section 22 of the Maharashtra Co-operative Society Act, an H.U.F. is not included in the list of persons eligible to become members of the Co-operative Housing Society. As such H.U.F. cannot be admitted as member. However in view of supreme court ruling contrary to section 22 of the Maharashtra Co- operative Society Act, H.U.F. can become member of the society.
The society can transfer the flat in favor of any of the legal heirs, if it is convinced about the bonafide of the applicant. This transfer should be done after following provisions of the by-laws. In such circumstances indemnity bond and No-Objection declaration should be obtained from all the legal heirs. Alternatively succession certificate should be insisted upon from the legal heirs of the deceased member.
A member can give his flat on leave & licence only after obtaining permission from the society. In such case society can charge non- occupancy charge which will not be more than double the maintenance charge of the flat.
A Society cannot charge more than Rs.25,000/- transfer fee from incoming/outgoing member.
After the builder hands over the possession of flat, to its respective purchasers, he is expected to convey the property in favor of the society. But in most of the case it is not done because of the following reasons.
All the members must clear their stamp duty liabilities and defaulters must pay stamp duty with penalty at the time of conveyance.
Under land ceiling Act. NOC must be produced.
Since owner is not interested in producing above NOC and members avoid to contribute their share of stamp duty, builders have good excuse and conveyance is not done in favor of the society.
Society has to recover on account of lift and garden maintenance from every member whether he is using it or not, even from the shop owners on the ground floor. Regarding common water charges, it will be treated similar to lift and garden, hence every member must contribute for the same whether they are using this water or not. However if any shop has taken water connection in his premises then he will be charged for it separately as per clause 69(a)(ii) of the Model Bye-Laws.
Ready Reckoner was brought out for the first time in the year 1990 and was made applicable from 01/03/1990, consequent to insertion of section 32A(6) with effect from 01/12/1989 in the Bombay Stamp Act 1958 authorising Collector of District to delegate determination of market value to Town Planner or Additional Collector, prescribing different rates for different areas and for different types of premises like undeveloped land, developed land, new built Chawl, Building up to 5 floors, Building above 5 floors, Shops, Industrial units; Offices etc.
The Joint Director of Town Planning and Valuation, Maharashtra State, collects the rates for various Tahsils, Municipal Corporations or local bodies, with the help of other officers. They look to registered documents for finalizing various rates at which transactions have taken place. After considering various factors they finalize the rates for each districts. The rates are declared every year on 31st December by the Chief Controlling Revenue Authority and the same is in operation from 01st January to 31st December of next year. The rate chart is displayed on the prominent place in the office of Sub-Registrar of each District. In Mumbai it can be inspected at Sub-Registrar offices at Old Custom House at Fort, Family Court building at Bandra Kurla Complex and at Administrative Building in Chembur. The rates are released under the signature of the Chief Controlling Revenue Authority, Maharashtra State, whose office is at Pune. Any change or modification is valid only if he endorses it. Every year we read in the newspaper about increase or decrease in Values in the form of certain percentage of value of previous year. It is pertinent to mention here that such percent is generally for purpose of news only and it is.
Rates mentioned for Land is per Sq.Mtr. considering F.S.I to be 1 and rates mentioned for Buildings whether Residential, Office, Shop (Commercial) or Industrial are for per Sq.Mtr. Built-up area. Stamp duty should be paid on Built-up area only and not on carpet area or super built up area.
Previously when it was difficult to determine built-up area and if carpet area was mentioned in the agreement then the same was increased by 20 percent to arrive at built-up area. Also if Super Built-up area was mentioned in the agreement then 20 percent was reduced from Super Built-up area i.e. 80 percent of Super built-up area was Built-up area. But Stamp Duty and Registration department has now withdrawn above method partially and adopt uniform method as mentioned in valuation factor. This mode of calculation was primarily a shortcut to an acceptable solution when built-up area was not mentioned in the document. It should never be adopted to calculate carpet area from the super built-up area or vice versa, because arithmetically it will never give correct figure.
Relation Between Square Feet & Square Meter 1 Sq.Mtr. = 10.764 Sq.ft. 1 Sq.Ft. = 0.0929 Sq.Mtr.
Instant Call Back
Virtual Site Visit
Unmatched Price