2. This is not necessary. The lease may be renewed for a further 11 months. 2. No deadline is required for a waiver to be applied before the agreement is renewed. It is the owner`s responsibility to register the lease, otherwise the lessor may have to pay a fine of 5,000 Ds and expect a prison sentence of up to three months. If the leave and licence contract is not registered and there is a dispute between the lessor and the tenant, the contractual terms invoked by the tenant are considered to be the actual and correct conditions under which the property was granted to the tenancy, unless there is evidence to the contrary. 3. Without seeing the content of the LL agreement, I cannot say whether or not this requires changes. If you have ever rented a property or lived in a rented house, you must have signed a rental agreement. Have you ever wondered why most leases are valid for 11 months? Often, neither landlords nor tenants nor even real estate agents know why. Let`s see.
The formula for calculating stamp duty on the lease is 0.25% x D, of which D (monthly rental x number of months) – (pre-rent for the period/non-refundable down payment) – (10% x refundable deposit x number of years of contract). I had registered holiday and licensing contracts for the entire 5-year period with the licensee for my apartment in Mumbai. The tenant is looking for another agreement to extend the total term of the licence over 5 years. I have heard that the tenant can obtain rental rights if he stays beyond 5 years in the licensed apartment. It`s true. If that`s true, I can register a new agreement with him after a 1-2 month gap. Most leases are signed for 11 months so they can avoid stamp duty and other fees. Under the Registration Act of 1908, registration of a lease is mandatory if the tenancy period is more than 12 months. If an agreement is registered, stamp duty and registration tax must be paid.
For example, in Delhi, for a lease of up to five years, stamp paper costs 2% of the total annual rent of one year. Add a flat fee of Rs100 if a security deposit is part of the agreement. For a lease of more than 5 years but less than 10 years, it represents 3% of the value of the average annual rent for a year.