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mitra (ww)     02 March 2010

To sell Or To Transfer - Agricultural Land on lease in MS


I need to know the procedure for selling /transferring the lease of a agricultural land, in Maharashtra India.

A relative of mine, had taken 1000 sq. ft. of agricultural land on lease for 999 years. This was according to the prevalant law that agricultural land cannot be sold to non agricultural person. So instead of sale deed there was a lease deed. A premium was paid to the land owner. The lease stated that the land should be used for residential purpose only. So a small house was built on the land with the permission of the loacl authority i.e. grampanchayat.

A few years later, this relative again took the adjoining piece of 500 sq.ft.agricultural land form the same owner for lease of 999 years, with the payment of premium . The trems of lease remained same. No construction was done on this newly acquired piece of land.

The relative stayed in the small house and paid the taxes till now. Now he wishes to dispose the entire land of 1500 sq. ft. alongwith the constructed house on 1000 sq. ft.  So the obvious question are -

1) will it be
a) sale deed for the house
b) transfer of lease deed for the land
c) sale deed for both land and house
d) transfer of lease deed for both land and house

2) what are the documents required for this transaction from my relative's side?

3) is the NOC of original owner required for this sale /transfer? is there any consideration to be paid to the original owner in this transaction ?

4) is there a need to register this transaction and if so, who pays the stamp duty?


 2 Replies

aruntrivedi (lawyer)     03 March 2010

No leasing of agriculture land is banned to non-agriculturist under Bombay Land Revenue Code and Bombay Agriculture Land & Tenancy Act which is Bombay tenancy act.

it is also necessary to know whether land is of which type restricted tenure land or unrestricted tenure land. If this has been done government will khalsa and take over the land - how is it possible for long time said land has remained with a non-agriculturist on Lease. All Government lands are given on Lease to its owners is a basic prnciples of Bombay Tenancy Act & Land Revenue Code. There could have been a prosecution under tenancy act - so pl look into all papers. whether the land is converted into NA Land?? Whose name is there as owner and possessor of land in Village Form No. VII/XII??

Saket Gandhi (advocate)     06 March 2010

I have not gone through the matter but one thing is for sure that agricultural land cannot be leased to non-agriculturist without permission of Govt. under section 63 of Bombay Agriculture Land & Tenancy Act

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