Tenancy Agreement Registration
Number of occupants: The agreement must indicate what happens if your family members come to see you in the future. You must pay a stamp duty while you register the rental agreement which will vary depending on the city in which it is registered. This amount will be paid using the stamp paper you owe the government. In Delhi, stamp duty must be paid for 2% of the average annual rent and for leases of up to five years. In Noida, you have to pay 2% of the annual rent as a stamp duty, for leases of up to 11 months. In some countries where electronic stamping is available for leases, you don`t need to physically purchase stamp paper. You can register on the website of the Holding Company of India (SHCIL) and verify that the state in which you reside offers this establishment. Currently, Assam, Gujarat, Himachal Pradesh, Karnataka, Maharashtra, NCR Delhi, Tamil Nadu, Uttarakhand and Uttar Pradesh allow electronic signing of leases. Note here that notarized certified rentals are not identical to registered documents. In the event of a dispute between the landlord and the tenant, the court will not accept a notarized agreement as proof. It is therefore important to register the rental agreement correctly. In order to reduce costs, tenants and landlords sometimes agree orally on the lease and avoid the execution of a tenancy agreement.
At one point, they also document the agreement and set the terms of the lease, but decide not to register the document. This is due to the fact that both parties must pay a registration fee when a lease is entered into and registered. The lessor is also required to declare his rental income as soon as the lease is final. However, entering into a non-registration lease is illegal and could be a risky transaction for both parties, particularly in the event of future litigation. Visitors: The agreement must contain a clause on who can visit you and when. See also: Compromise clause in leases and how it can help landlords and tenants Although a rent voucher may be registered in the land registry, Article 3, paragraph 2 of the land regulation provides that the principles of termination and priority do not apply to „bona fide leases for up to 3 years“. Therefore, a document creating a tenancy agreement longer than 3 years (i.e. rent) should be registered, otherwise it would tend to be defeated by the landlord`s rightful rights holders (for example. B buyer or new tenant) and would lose priority over other registered documents relating to the same property.