Just like any other immovable property, land registration is mandatory for a new owner to obtain legal ownership over the land. As per the Registration Act, properties valued over 100 rupees should be registered in the records of the government. However, the process of land registration is lengthy in India due to registration charges and stamp duty as well as gathering all the paperwork.
In this article, we will discuss some important land registration aspects you should know while purchasing a property.
As per the Indian Constitution, the land is considered a state subject. This means that states have the authority to impose taxes, make laws, and collect taxes over all the immobile new residential projects in Mulund. As the land-registration-related fields, as well as the registration charges, are dependent on the revenue charges of the state, the city administrations can act on their own in different districts. The IGRS has the authority to collect all the registration charges and stamp duty on behalf of the state.
For instance, you’re purchasing residential projects in Mulund. In this case, you have to make a land registration application with the IGRS Mumbai and pay the registration charges and stamp duty charges on the purchase through the office in the area.
Since states can impose whatever land taxes they want, the value of stamp duty on land purchase differs from one state to another. Depending on the state of the new construction in Mulund, you might have to pay stamp duties ranging from 4% to 15% of the all-over transaction value.
However, do you know what transaction value is? Transaction value is the amount you should be paying to the seller in exchange for the ownership of the land. So, if you’re paying 20 lakhs for the land to the seller, you have to pay 10% of the transaction value based on the market value of stamp duty and land parcel.
Generally, states ask the home or land buyers to pay 1% of the total land value as their registration charge as well as the stamp duty. However, some states also ask for a flat fee so that the registration process can be completed quickly.
The chances of forgery are higher in the transactions of land. So, compared to the registration of other types of properties such as apartments, flats, and homes, the buyer and seller should provide a large number of documents while transferring the ownership of the land to the new name in the government’s records. Apart from the documents that prove the identity of the buyer while purchasing New Projects in Mulund, the identity of the seller, the witness, along with the registration charge, stamp duty, and the application of registration are also required.
You can pay the stamp duty fee, fill up the application form, pay the registration charges and submit the necessary applications for new land ownership through the official website of the respective state. However, make sure that you have to do it before booking an appointment at the SRO. This will save you a lot of effort and time.
This is all you need to know regarding land registration in India. Do you have any questions? Comment below to let us know.