Noida gives a month to tenants for registering rent agreement
The revenue department gets a 2% revenue on the total rent as per the agreement and revenue generation can go up sizeably if the rules are strictly implemented.noida Updated: Sep 04, 2018 02:47 IST
Not registering rent agreements with the stamp duty department will attract legal action, the district administration of Gautam Budh Nagar said on Monday.
According to officials, persons who have taken any type of property, whether residential or commercial, have to register their rent agreement. The last date for registration is September 30. The onus of registration is on the tenant. District magistrate BN Singh has given a month’s time to tenants to register their agreements with the stamp duty department.
“We want to ensure that people working or living on rental properties should be registered with the stamp duty department, as per the law. Strict action will be taken against those who will not follow the rules and regulations. I have asked officials concerned to take appropriate action,” Singh said.
The department gets a 2% revenue on the total rent, as per the agreement. “A lot of people living or running their businesses on rental properties avoid getting the agreements registered in order to save money. We get a 2% revenue on the total yearly rent. The DM has given a month’s time to all tenants to follow the rules and regulations. The revenue generation can go up sizeably if the rules are strictly implemented,” Keshav Kumar, additional district magistrate, said.
The department is trying to spread awareness about the issue through radio ads and by getting in touch with residents’ welfare associations and business communities. “We are getting in touch with various groups to spread awareness on the registration procedure. Anyone found flouting the law will have to face action in the district magistrate’s or the ADM’s court,” Kumar said.
Officials will be also trying to find out how many persons have given flats or houses on rent. “We will be using our sources to identify those who are living on rent in various societies and colonies but have not yet registered their agreements with the stamp duty department,” Singh said.
“For those with a rent agreement of 11 months or lesser, registry is not mandatory. However, the agreement should include stamps to an amount equivalent to 2% of the rent to make the document valid. Most people make their agreements of 11 months to evade stamp duty charges,” SK Singh, assistant inspector general, stamps, said.
Residents’ welfare societies welcomed the move but said the deadline of one month was too short. “It is a good move by the administration but the deadline for the registration with the stamp department should be increased to at least three months. There are many people who have given their properties on rent but are living in other cities so it might take time for people to register. Otherwise, it is important to register with the stamp duty for our own safety,” NP Singh, president, FONRWA, said.
First Published: Sep 04, 2018 02:47 IST