For the 1-4 year lease, stamps must be purchased for a value of 2 percent of the total annual rent. A deposit of Rs 100 must also be paid. For the lease between 5 and 10 years, stamps must be purchased for a value of 5 percent of the total annual rent. For a rental period of 10 to 20 years, 5% of the annual rental value must be paid. Deposit – In Delhi, the usual trend is to collect 2-3 months of rent on deposit. This deposit is refunded by the owner to the tenant at the time of evacuation of the premises by the tenant. No interest is paid on the amount of the deposit. The room contract is similar to the traditional lease, but has minor differences as some facts are different, as the landlord only rents one room in the property. The registration and stamp duty procedure is the same as residential real estate for the rental of commercial real estate. The reason for certification by many stamp sellers is that the unregregized document is considered proof of legal address with a notary`s seal, but there is no legislation to indicate this.
The notary`s seal says you have certified it before a notary. Token Advance – At the time of closing the house for rent, the tenant sometimes pays a small token advance to the landlord. The goal is to prevent the landlord from having other potential tenants. The token advance blocks the property until one of the parties backs down. Once the advance token is donated, both parties are presumed willing to enter into the deal. But if one of the parties does not back down other proceedings, that party must make up for the loss for the other party. Stamp Duty – This is the tax paid to the government when an agreement or transaction is established. Stamp duty is calculated on the basis of the transaction value. He is paid to the government by buying stamp paper of reasonable value. The Registration Act of 1908 states that among the documents requiring mandatory registration, “rental of real estate from year to year or for a period of more than one year or reservation of an annual rent” as a . .