REGISTRATION OF DOCUMENTS IN DELHI
Registration of documents is very crucial to understand because there are certain documents of which registration is compulsory and there are various documents of which registration is optional.
As per Section 17 of the Registration Act, 1908, a non-testamentary document through which a person creates, transfers, assigns or extinguishes any right, title or interest in the immovable property having value of Rs. 100 and upward in favour of another person needs compulsory registration. What is non-testamentary document? A non-testamentary instrument is a legal document that takes effect during a person’s lifetime —unlike a will—to create, transfer, or extinguish rights, title or interest in the immovable property.
The list of documents of which registration is compulsory include the following:
- Sale Deed
- Agreement for Sale.
- Gift Deed
- Conveyance Deed
- Partition Deed
- Mortgage Deed
- Relinquishment Deed
- Release Deed
- Deed of Assignment.
- Rectification Deed
- General Power of Attorney given for consideration
- Lease deed for more than one year period. Or for year-to-year basis.
- A Court Decree or Order or Award purports or operates to create, declare, assign, limit or extinguish any right, title or interest of the value of one hundred rupees and upward to or in immovable property.
These instruments are operative immediately upon execution and typically requiring registration to be valid.
There are certain other documents which could also be registered but registration if optional which include the following;
- Will
- Adoption deed
- General Power of Attorney
- Special Power of Attorney
- Rent Agreement / Lease Deed for less than one year period.
- Trust Deed
- Partnership Deed
It is to be noted that prior to execution or registration of these documents, one thing is to be checked carefully to avoid future disputes in connection with the same that these documents are properly drafted covering all the material facts, circumstance, clauses and consideration or not. because unclear clauses or loose drafted clauses may create confusion, misinterpretation, doubts and might leads to litigation in future.
Further to be noted that the requisite stamp duty has to be paid while registration of these documents. And stamp duty is the state subject. Every state in India has prescribed its own rate of stamp duty and registration charges for registration of these documents.
The rate of stamp duty and registration charges in Delhi for some crucial documents are given as under:
The rate of Stamp Duty on the Sale Deed / Gift Deed / Conveyance Deed / Certificate of Sale / GPA is 4% if the purchaser is female and @ 6% if the purchaser is male of the sale consideration or the market value of the property whichever is higher and registration fees is 1% of the total consideration or market value of the property whichever is higher + Rs. 100/- pasting charge.
The rate of stamp duty on:
- Adoption Deed – Rs. 50
- Affidavit – Rs. 10
- General Agreement – Rs. 50
- Composition Deed – Rs. 100
- Instrument for dissolution of marriage (Divorce) – Rs. 100
- Indemnity Bond (where amount is not prescribed) – Rs. 100
- General Power of Attorney – Rs. 50
- Special Power of Attorney – Rs. 20
- Share Certificate – one rupees for every one thousand of the value of shares or part thereof.
- Transfer of Shares – 0.015% of the consideration value for both physical and demat transfers.
If anyone needs any kind of help or legal advice on this issue or in general, please feel free to contact me at any time. My Number is 9818865693 and email is adv.jeetkumarsingh@gmail.com