Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram
Article Section

Home Articles Other Topics Mr. M. GOVINDARAJAN Experts This

REGISTRATION ACT, 1908

Submit New Article
REGISTRATION ACT, 1908
Mr. M. GOVINDARAJAN By: Mr. M. GOVINDARAJAN
January 3, 2011
All Articles by: Mr. M. GOVINDARAJAN       View Profile
  • Contents

REGISTRATION ACT, 1908

M. GOVINDARAJAN

                        Registration is recording of the contents of a document with a Registering officer and preservation of copies of the original document.  Registration is done for the purpose of conservation of evidence, assurance of title, publicity of documents and prevention of fraud.  It will be helpful for an intending purchaser to know if the title deeds of a particular properly have been deposited with any person of a financial institution for the purpose of obtaining an advance against the security of the property.

WHETHER ALL DOCUMENTS ARE TO BE REIGSTERED?

Some of the documents are compulsorily to be registered.   Some of the documents can be registered at the option.  Sec. 17 of the Registration Act lays down different categories of documents for which registration is compulsory.   The documents relating to the following transactions of immovable properties are required to be compulsorily registered:

  • Instruments of gift of immovable properly;
  • Lease of immovable property from year to year to for any term exceeding one year or reserving a yearly rent;
  • Instruments which create or extinguish any right or title to or in an immovable property of a value of more than one hundred rupees.

    Sec. 2(6) of the Act defines the term 'immovable property' as includes land, buildings, hereditary allowances, rights to ways, lights, fisheries or any other benefit to arise out of land, and thins attached to the earth, or permanently fastened to any thing which is attached to the earth, but not standing timber, growing crops nor grass.

    Sec. 18 of the Act lays downs the instruments of which registration is optional.  Some of these instruments are listed as under:

    • Instruments (other than instruments of gifts and wills) relating to the transfer of an immovable property, the value of which is less than Rs.100/-;
  • Instruments acknowledging the receipt or payment of any consideration;
  • Lease of an immovable property for a term not exceeding one year;
  • Instruments transferring any decree or order of a court where the subject matter of such decree or order is an immovable property, the value of which is less that one hundred rupees.

    PROCEDURE FOR REGISTRATION:

    • Sec. 32 provides that  subject to certain exceptions, every document which is to be registered under the provisions of this Act should be presented at the proper registration office by:

    Ø      The concerned person himself/herself;

    Ø      The representative or the agent of such a person duly authorized in manner as is stated in Sec. 33 of the Registration Act.

  • The documents for registration should normally be presented in the office of Sub Registrar within whose sub district the whole or some portion of the property to which the document relates is situated;
  • The original document should be typed/printed on one side only along with two photocopies of the original have to be submitted to the Registering officer.   The copies are required to be photocopied only on one side of the paper and there has to be a butter paper between the two photocopies papers.  This is done so as to prevent the typed matter from getting spoilt;
  • The language of a document should be in a language commonly used in the district existing in the State.  The Registering Officer is empowered to refuse to register a document if it is presented for registration in a language which is not commonly used in the district unless the document is accompanied by a true translation into a language commonly used in the district and also by a true copy;
  • It is always necessary, with a view to identify the property involved in a document, that the description of the property is mentioned in a separate schedule, preferably with maps or plans, so as to enable the Registering Authority to make notes in the books to be preserved.   The description should mention the area of the property, the number of the property, the boundaries of the property, the streets on which it is situated, along with the name of the village, Taluk, district.   The City Survey Number, with Hissa Number, if any, should also be mentioned.   It is the discretion of the registering officer to refuse to accept a document if the description of the immovable property is not sufficient to identify the property correctly;
  • The parties should as far as possible:

    Ø      Obtain an Income Tax Clearance Certificate of the seller for all properties above Rs.5 lakhs and the NOC from the appropriate authority if applicable (if the consideration exceeds Rs.75 lakhs for the city of Mumbai then the permission of the Appropriate Authority will be required);

    Ø      Get the documents adjudicated from the Collector of the Stamps and duly certified that the proper stamp duty has been paid;

    Ø      Comply with the formalities of Urban Land Ceiling and Registration Act, 1975 (if applicable) if the area exceeds 500 sq.mts.

  • The Registering Officer is empowered to enquire whether or not such a document was executed by the person by whom it purports to have been executed.   In order to satisfy himself the Registering Officer may ask the person appearing before him to prove his identity in the case of any person appearing as a representative or agent, the Registrar may ask for relevant documents which show that he has the right to appear on behalf of his Principal.   After carrying out such an enquiry, the Registering Officer is entitled to refuse the registration of a document if he is not satisfied with his findings;
  • The registration procedure also requires the presence of two witnesses and the payment of the appropriate registration fees;
  • If all the persons executing the document appear personally before the officer and/or are personally known to him or if he is otherwise satisfied that they are the persons they represent themselves to be and if they all admit the execution of the document, the Registering Officer should register the document as required under Sec. 58 of the Act.   He should endorse the following particulars:

    Ø      The signature and admission of every person admitting the execution of the document in person or by his representative, assign or agent;

    Ø      The signature and admission of every person examined in reference to such a document;

    Ø      Any payment of money or delivery of goods made in the presence of the Registering Officer in reference to the execution of the document and any admission of receipt of consideration made in his presence in reference to such execution;

  • After completion of all formalities related to registration, the Registering Officer shall endorse on the document a certificate containing the word 'Registered' together with the number and page of the book in which the document has been copied.  Later the endorsements and certificate shall thereupon be copied into the margin of the Register book.   The copy of the maps on plans of any, shall be filed in Book No. 1.   The registration of the document is then deemed to be completed and the document is returned to the person who has been nominated in writing in that behalf on the receipt mentioned in Sec. 52 of the Act.   However such original documents are returned by post or by hand delivery only after the proper procedure for the preservation of the original document has been complied by the Registration Authorities.

    TIME LIMIT:

                            Sec. 23 provides that subject to certain exceptions any document other than a will has to be presented for registration within four months from the date of the execution.  The term 'execution' means signing of the agreement under the present rules and regulations, all agreements in respect of a transfer of a premise or an immovable property have to be duly stamped under the provisions of Stamp Act before the document is presented for registration.

                            If a document is not presented within the prescribed time period of four months and if in such a case the delay in presentation of the document does not exceed a subsequent period of four months, then the parties to the agreement can apply to the Registrar who may direct that on payment of a fine not exceeding ten times the proper registration fees, such a document should be admitted for registration.

    REFUSAL OF REGISTRATION:

                            The normal grounds for non registration of documents are-

  • Document is opposed to public policy;
  • Parties have not complied with the formalities as laid by the Registration Act and by any reasons by which registering authority is not satisfied;
  • The Survey No. of the property is not mentioned in the documents;
  • The language in which the document is executed is not in the language which is normally prevalent in the area where the office of the registering authority is situated.

    The appeal lies to the Registrar, to whom such Sub Registrar is subordinate, under Sec. 72 of the Act within 30 days from the date of refusal.   In such an event the Registrar may enquire whether the document has been executed and whether the requirements of the law currently in force have been complied with on the part of the applicant or the person presenting the document for registration, as the case may be, so as to admit the document for registration.  For the purpose of an enquiry the Registrar is empowered to issue summons to enforce the attendance of witnesses and compel them to give evidence as if he were a Civil Court.   If the Registrar finds that the document has been executed and that the said required had been complied with he can order for registration of the document.   When the Registrar refuses to order the document to be registered any person claiming under such a document or his representative, assignee or agent may within 30 days after making the order of refusal institute a suit in the proper Civil Court for a decree directing the document to be registered.

    REGISTRATION AT PRIVATE RESIDENCE:

                            Sec. 31 of the Act authorizes the Registering officer, on special cause being shown (for instance if the person is physically handicapped) to attend at the residence of any person desiring to present a document for registration and accept for registration such a document or a 'Will' provided Registering Officer is satisfied about the special cause shown is sufficient.

    REGISTRATION FOR THE PROPERTY EXECUTED OUTSIDE INDIA:

                            A document relating to an immovable property can be executed out of India and later it can be presented for registration in India and within the prescribed time.  The Registering Officer may, on payment of proper registration fee, accept such document for registration if he is satisfied that the instrument was executed out of India and the instrument has been presented for registration within four months after its arrival in India.

    DEED OF RECTIFICATION:

                            If the main document/agreement is registered, then in that event it is always necessary to register the Deed of Rectification too.

  •  

    By: Mr. M. GOVINDARAJAN - January 3, 2011

     

     

     

    Quick Updates:Latest Updates