Stamp duty is a pre-requisite condition, which has to be paid before taking possession of the flat. It is essential to pay the requisite stamp duty every time one purchases a new flat.

Registration
Compulsory Registration Of Documents Section 17 of The Registration Act, 1908 (“The Registration Act”)

The Registration Act lays down different categories of documents for which registration is compulsory.

Under Section 2(6) of the Registration Act, 1908 the term "immovable property" includes: "land, buildings, hereditary allowances, rights to ways, lights, ferries, fisheries or any other benefit to arise out of land, and things attached to the earth, or permanently fastened to any thing which is attached to the earth, but not standing timber, growing crops nor grass." The documents relating to the following transactions of immovable properties are required to be compulsorily registered:

Place for presenting document for registration of Section 28 of the Registration Act, 1908 states that all documents of which registration is compulsory if it relates to an immovable property as well as a few documents of which registration is optional should normally be presented for registration in the office of the Sub-Registrar within whose sub-district the whole or some portion of the property to which the document relates is situated.

Other Related Provisions
Section 4 (1) of THE MAHARASHTRA OWNERSHIP FLATS (Regulation of the promotion of construction, sale, management and transfer) ACT, 1963 , it is laid down that, the agreement in respect of flats to be sold by the owner/ promoter/developer to the flat purchaser requires compulsorily to be registered under The Registration Act.

Under the provisions of THE MAHARASHTRA APARTMENTS' OWNERSHIP ACT, 1970 Registration is necessary under this Act. Under Section 13 of the aforesaid Act, it is necessary on the part of the owner/owners to execute a declaration with regard to description of the land on which the building and improvements are to be located, including the number of storeys, basements, number of each apartment, area of each apartment, number of rooms and immediate common area etc. along with a set of floor plans of the building showing the layout, location, and dimensions of the appurtenance and bearing the verified statement of an architect certifying that the same is an accurate copy of the floor plans of the building as filed with and approved by the local authority within whose jurisdiction the building is located.

Registration Procedure
At the time of lodging a document for registration of any instrument, the original document which should be printed on one side only along with two photocopies of the original have to be submitted to the Registering Officer. The copies are to be photocopied only on one side of the paper and there has to be a butter paper between the two photocopied papers. The registration procedure also requires the presence of two witnesses and the payment of the appropriate registration fees.

On Completion of Procedure
A receipt bearing a distinct serial number is issued. The following requirements for completing the registration are usually stated on the receipt:

Registration Fee
The registration fee at present fixed for registering documents relating to property transactions are approximately 1% of the market value or agreement value whichever is higher subject to Maximum of Rs.30,000/- [w.e.f. 1-4-2003]. The registration fee for the following immovable property transactions is leviable on the market value of property on which stamp duty is charged:

Person's Entitled Section 32 of the Registration Act, 1908 deals with the provisions relating to the presenting of documents for registration by a person. Subject to certain exceptions, every document, which is to be registered under the provisions of the Act, should be presented at the proper registration office by:

Consequences of Non-Registration of a Document
According to Section 49(c) of the Act, if a document, of which registration is compulsory under Section 17 of Registration Act, has not been registered, it cannot be produced as evidence in a court of law.

Time
Time permitted for registration of a document Under Section 23 of the Act, subject to certain exceptions, any document other than a will has to be presented for registration within four months from the date of its execution.

Expiry of the Prescribed Time
If a document is not presented for registration 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. Delay in Registration - provision for additional four months. The practice followed in such an event is that the parties to the document execute a Deed of Confirmation confirming that the main deed is valid and binding upon them. By way of such a deed the transferor/s also confirm/s that he/they hold/s no right, title and interest in the property and the same is being transferred to the transferee/s. A copy of the main deed is annexed to this Deed of Confirmation. This is the only manner in which the lapse in registration can be rectified.

The Procedure on admitting a Document to Registration
The Registering officer has to endorse the following particulars, namely:

After completion of all formalities related to registration, 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 completed by the Registration Authorities

Persons who are exempted from being present at any Registration Office for the Purpose of Admitting any Document
As per Section 38 of the Registration Act, 1908, the following persons are exempted from attending the office of the Registrar for admitting any document: