Leave & license agreement - registration
narendragupta
(Querist) 03 April 2015
This query is : Resolved
Dear Learned Experts,
The query is that whether registering a leave & license agreement compulsory in India in the following case:
I have a commercial premise in Mumbai which I want to give on leave & license basis for 3 years at a monthly license fee of Rs.50000/-, Deposit amt to be Rs.NIL. Thus according to new stamp duty rates, the amt will be Rs.4,500 (@ 0.25%) & registration fees will be Rs.1000. (this fig. calculated by me on igrmaharashtra website)
Now is it that registration & payment of duty both are compulsory for me? Kindly give your reply as per the Registration Act & Stamp duty Act.
Also if I make a Leave & License agreement on Rs.100 non judicial stamp paper & register the agreement with the authorities by paying only the registration fees of Rs.1000. Will it be fine?
Please comment your valuable advice.
Thanks & Regards
Narendra Gupta
Devajyoti Barman
(Expert) 03 April 2015
In Mumbai it is required to be registred though on other parts of India including WB it is not mandatorily registrable.
narendragupta
(Querist) 03 April 2015
Thankyou Sir for your prompt reply,
I will definitely register the same. But the query is whether I have to pay Rs.4500 or not towards Stamp duty?(as the amt is below Rs.5000 & the state is Maharsashtra)
Devajyoti Barman
(Expert) 03 April 2015
The local registration office can confirm the amount of stamp duty. Get in touch with them.
narendragupta
(Querist) 03 April 2015
Thank you Sir.
Even others can post their valuable advice if they are aware of the laws in Maharashtra particularly.
Its a bit urgent.
Thanks in advance...
Dr J C Vashista
(Expert) 04 April 2015
Since the period of lease and licence is more than 1 year (3 years in your case) it has to be registered compulsorily under the provisions of 17(2) of Registration Act, whether it is Mumbai or Kolkata, Delhi or Ahemdabad.
T. Kalaiselvan, Advocate
(Expert) 08 April 2015
It is confirmed that registration of such agreements is compulsory in Maharashtra, but about the fee and charges, you may have to verify yourself so that you are not cheated by touts/agents.
