Stamp Duty For Registration Of Rent Agreement In Delhi
To register a rental agreement, the lessor must provide the following documents: Within a secular period, if the owner has rented the property for more than 12 months or if he has recovered rent, including deposit, for 12 months, a lease (not registered) must not be valid as evidence in court. Delhi has switched from traditional stamp papers to the electronic stamp system of Stock Holding Corporation of India Limited (SHCIL). E-stamp papers can be obtained by electronic stamp suppliers and the project can then be printed on these documents. If a property is rented for 24 months at a monthly rent of Rs20,000 for the first 12 months and Rs22,000 per month for the following 12 months. The registration fee for this agreement would be: 2% of the average rent for 12 months: Rs5.040, (average monthly rent is Rs21.000, the average annual rent is 21000 *12 and 2% of it is Rs5.040). Most rental contracts are signed for a period of 11 months in order to avoid stamp duty and other fees An unreged rental deed is never evidence in court. This is only collateral evidence and cannot be used to prove one`s own claims. Therefore, registering the lease is very important to be safe. In accordance with article 49 of the Registration Act, all lease contracts for a period of eleven months must be registered with the office of the sub-registrar. On the other hand, it is not mandatory to register a lease with a duration of less than 11 months. Now, have your agreement executed in a few steps on e-stamp paper! In addition to the aforementioned stamp duty fee, Rs 1,100 must also be paid for the registration fee.
Another popular type of rental is a long-term lease for a number of years. There is no monthly rent to be paid by the tenant. At the end of the rental period, the landlord must return the rental amount to the tenant. Electricity, water and maintenance costs are regularly paid by the tenant. No interest is paid on the amount of the lease. To avoid paying these fees, many landlords and tenants agree not to register contracts. If you want to register a rental agreement, tenants and landlords can agree to share the costs. Some people choose to certify leases, but certification is not a record. Therefore, a notarial deed of lease is never a substitute for a registered deed. The courts do not accept them as evidence in the event of a dispute. Even if the deed is notarized, you must still register it. While this article explains the gist of the rental procedure, you can now conclude your agreement and have it delivered with stamp paper.
LegalDesk offers a prefabricated, ready-to-use rental agreement certified by a lawyer. All you need to do is enter your data and we will do the rest. We also offer the possibility to print your document on stamp paper and deliver it to the address of your choice. If you are looking for leases for Noida and Gurgaon, we have some too! What are the different fees for registering the rental agreement? In a rental agreement, the following clauses must be clearly mentioned: If you have ever rented real estate or if you have lived in a rented house, you must have signed a lease. Have you ever wondered why most leases have an 11-month term? Often, neither landlords, nor tenants, nor even real estate agents know why. We`ll find out. Deposit – In Delhi, the usual trend is to collect 2-3 months of rent on deposit. This deposit is refunded by the owner to the tenant at the time of evacuation of the premises by the tenant.
No interest is paid on the amount of the deposit. The registration and stamp duty procedure is the same as residential real estate for the rental of commercial real estate. Method of payment for stamp duty: By stamped e-paper that can be purchased by any authorized seller up to a value of Rs. 500/- and for a value above 500/- through different banks according to the banking list, Delhi has abandoned traditional stamp paper systems and completely converted them to the e-stamping system of Stock Holding Corporation of India (SHCIL).