Why is registration necessary

Among the many property-related transaction that attract mandatory registration is purchase of high-value residential units and plots. Under Section 17 of the Registration Act, , all transactions that involve the sale of an immovable property for a value exceeding Rs , should be registered. This effectively means that all the transactions of sale of immovable property have to be registered , as no immovable property can be purchased for merely Rs The same rule applies to gift of property, as well.

Even though the donor does not receive any monetary consideration in exchange for the property, the gift deed has to be registered to get legal validity.

Additionally, all transactions of lease for a period exceeding 12 months are also mandatorily required to be registered. See also: Frequently asked questions on property registration in India. Section 18 of the Registration Act, , holds that the following documents may or may not be registered:. The property documents that need to be registered, should be submitted to the office of the Sub-Registrar of Assurances within whose jurisdiction the property, which is the subject matter of transfer, is situated.

The authorised signatories for the seller and the purchaser, have to be present along with two witnesses, for registration of the documents. The signatories should carry their proof of identity. The documents that are accepted for this purpose, include Aadhaar Card, PAN Card, or any other proof of identity issued by a government authority. The signatories also have to furnish the power of authority, if they are representing someone else. You need to present the property card to the sub-registrar, along with the original documents and proof of payment of stamp duty.

Before registering the documents, the sub-registrar will verify whether adequate stamp duty has been paid for the property, as per the stamp duty ready reckoner.

In case there is any deficit in the stamp duty, the registrar will refuse to register the documents. Stamp duty is the tax you pay to the government for attaining legal ownership over an asset, while the registration charge is the fee to get this legal formality completed in the government records.

The main aim of document registration is to give validity and authenticity to a document. According to The Registration Act, some types of documents are mandatory to be registered and some of the documents are optional.

Section 17 of this Act talks about compulsory registration of documents and Section 18 talks about the optional registration. Document must be registered to safeguard people from frauds, legal hurdles, and it can be used as valid evidence in court if it is required. In compulsory registration you cannot complete the transaction without registration of document. In business contracts it is advised by the experts to register the documents as it gives more transparency to the business deal and document can be presented as evidence in the court if any dispute arises.

Apart from the need for document registration we discussed earlier, document registration has some importance in India.

Document registration is sixth item in the concurrent list under Article of Constitution of India. Concurrent list is important because law made by the Union prevails over the State for concurrent matters; the State, by acquiring presidential assent can override Union laws. As we have discussed earlier in this Act registration of documents is divided into two categories one is compulsory registration and second is optional registration. Here the list of documents which you can register under this Act.

We have already discussed some advantages of document registration in this article. Most important reason behind registration of a document is to provide authenticity and validity to the document.

Abc Medium. Abc Large. ET Bureau. Paperwork can be tedious, especially when you are dealing with legal matters. However, sweating the small stuff is important if you want to avoid trouble in the future. A single slip, be it a typographical error or delay in registering a document, and you could find yourself mired in a long legal conflict. Even improper or incomplete attestation could lead to a major court battle. Your legal guide on estate planning, inheritance, will and more.

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Your Reason has been Reported to the admin. Fill in your details: Will be displayed Will not be displayed Will be displayed. Share this Comment: Post to Twitter. When the registration of title has been granted, the National Land Survey will initiate a parcelling procedure to convert the unseparated parcel into a new property. The parcelling procedure is initiated automatically. With one application, you can apply for the registration of title to more than one property.

The price is determined by the number of properties. We will send the invoice when the registretion of title has been granted. It is not compulsory to apply for a pro forma registration of title, but doing so makes it easier to handle matters related to the conveyance of property. You should apply for a pro forma registration of title in at least the following cases:. The most common one is the receipts for payment of the purchase price. You do not need to use original copies of contracts that have been signed by a public purchase witness as appendices to the application for registration of title.

Other contracts must be sent by post as original copies. You can convey your own property, apply for mortgages or a transfer of electronic mortgage deeds. The e-invoice is an easy and safe way to receive invoices from the National Land Survey to your online bank. Breadcrumb Home Real property Services Register your ownership of a property. Apply for registration of title on time If the acquisition of the property involves financing arrangements, negotiate with your bank of who will apply for registration of title.