COMPULSORY REGISTRATION OF CONSTRUCTION AGREEMENTS
Undivided Shard of Land (UDS) will be registered only if the Registered Construction Agreement is produced. Rule comes into force from Oct 1, 2013.
Registration of Construction Agreements between the builders and the buyers of new flats have been made compulsory in Tamilnadu,with effect from Oct 1,2013.
The registration expenses are 2%(1%Stamp Duty+1%Registration Fee) of the cost of construction.
The Registration of the Construction Agreement is to be done within 120 days of the signing of the Agreement, and the UDS will be registered only on production of the Registered Construction Agreement. The rule has come into force from 1st Oct, 2013.
So far, a new flat buyer registers only the title for the Undivided Share of Land for which one has to incur 8% registration expenses. (Stamp Duty + Registration Fee)
By John das