Apartment owners and tenants have to pay maintenance fee for the amenities and service enjoyed by them in their apartment. Expense incurred for the maintenance of common area is shared among residents of apartment and income is distributed among apartment owners. Apartment owners form an association for collecting the maintenance fee and association works for the welfare of owners and residents of apartment.
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Popular procedures for calculating maintenance fee
There are different procedures or methods adopted by association or society for collecting monthly maintenance fee. Some of the important practices that are prevalent are following.
- Flat Monthly Fee:
Under flat monthly fee, apartment owners association or society calculates sum or total maintenance charge and divides equally among all flat owners. In an apartment, there maybe flats with different sizes. Under this system irrespective of size of the flat, all flat owners will be paying equal maintenance fee. This system is generally followed where apartments are of the same size (Sq. ft). - Per Square feet rate:
Variable rate would be depending on square feet of each apartment or flat. Under this method, rate or fee varies depending on square feet owned by apartment owners. Larger the square feet owned, higher will be monthly maintenance fee. This is widely practiced in Apartment societies with different sizes of apartments. The general logic behind being that since you have bought the flat on based of sq ft., you must pay the maintenance on the same. - Partial flat rate:
Under this method, association or society charges flat rate for a limit square feet and each additional unit will be charged extra. For e.g.: Flat owners who owns up to 1000 sqft will be charged fixed rate and for addition of 100 sqft will charged extra 2 per cent. In this case, all flat owners with 1000 sqft pay equal amount but flat owners of 1100sqft, 1200 sqft and 1500 sqft pay different amount towards monthly maintenance fee. - Mixed approach:
It’s a central approach to maintenance charging. Generally followed in apartment societies with variable sized apartments. Here there is a per square feet charge, which is generally low plus total expenses divided equally among the flats.
The common expenses will include the amounts determined to be payable as such by the Society or Association. It includes expenses such as expense of administration, maintenance, repair or replacement of common areas and facilities. So long as there is no dispute, any system acceptable to all the apartment owners can be implemented on the basis of agreement or consensus.
Method of calculating maintenance fee varies depending on the agreement or byelaw of association.
How is your apartment maintenance fee calculated? Does your association calculate monthly fees in a similar way or in a different way? Kindly share it in comments.
Tags: apartment, Apartment Maintenance, apartment owners, Apartment owners and tenants, apartment owners association, Equal maintenance fee, Flat owners, Maintenance Fee Amount, Methods to calculate maintenance charges in apartment societies, Residents of apartment, Society Maintenance Charges, Society or Association, Welfare of owners and residents
our society has 35 residence and 6 commercial shop members. all expense for water bill of residencial flats (shop does not have), watchman for residence area (shop does not have), society building electic bill (shop compound does not have), lift electricity and maintenance (shop does not have) are equally distributed among residence and shop owner and addl Rs. 100/ p.m. taken from shop owner as commercial permises maintenance charges. Is it justified ?
In society have common toilet for outsiders, watchman and shop owners. Recently BMC has raised arrears invoice for last 8 years on account of sewerage charges for common toilet (non-residence). Society has distributed only among the 6 shop owners. Is it justified ?
Dear Atul,
How can the charges be justified? It is quite clear that the shop keepers are getting the short end of the stick from the society members.
The legal position is quite clear
1. All members are equal and have to share the maintenance costs equally. For example a person staying on the first floor of a eight floor building may never use the lift, but as per law he has to share in the cost of operation of the lift.
2. Society should be providing for water / light and security to the shop owners too as they are paying for it and at a higher rate. Why is the society treating the shop owners are second class members?
3. If BMC has raised any demand on the society, it has to be paid from the common funds of the society and not transferred to the shop owners alone. Tell me, if suddenly a building resident needs to use a toilet and he uses the common toilet is he not liable to pay for its use?
Therefore in my opinion the shop keepers should not pay anything extra that the society has decided to charge them.
Dear Vinod,
Thanks for your reply.
Since residential flats have majority in the society and accordingly have passed on sewage charges of common toilet on shop owners in AGM. If we will not pay society will charge interest @ 21% p.a.
Could you suggest any bylaws which can resolve the issue.
Regards,
Sir,
Logically if a flat is sold at sq ft basis so should b maintanance as even the corporation taxses are charged on are basis. Yur Registration fee is also charged area wise and so is stamp duty.
Many of the flat /apartment owners have logic that in a big appartment the no of members staying are less and in a small apartment the no of members are more. Well in that case passages and toilet (waste outlets) are larger in big apartment and small in small apartment electricty used for no of tube lights will be more in large passage in comparison to small aprtment, so is the cleaning and maintanance differs are wise.
It has become a tendancy of people staying in large apartment to enjoy at the others cost by paying less.
In a small apartment if no of occupants are more then they are at discomfort , water bill is charged to each flat a per the size of flat.
So the idle way of charging maintenance has to be on are basis. If one goes thru the bye-laws it recommends 0.75% of construction cost for maintenance and common facilty like security and office expenses to be shared equally by the members which is a logic.
Regards
ASHOK
Dear Mr.Ashok,
In a complex of 50 apartments for example they might have even got negotiated with builder for flat rate or maintenance rebate.That being the case do you think that person will enjoy free maintenance fee throughout his lifetime?
Association is formed to maintain equality. if any cost is incurred due to larger apartments it should be charged to them.You cannot go on virtual assumptions that secure area is more etc..instead it should be on actuals like extra corridors and hence sweeping and light charges are more …so like that you can add on to the list.
Regards
Naresh
Sir,
I am amzed at your logic. Builder has no role to play in co-op society. Members who come together need to have fair mind and not to enjoy at others cost.
As per your logic person buying 2BHK also should pay same amount i.e. total cost of consturtion as person who has opted for 3 BHK.
Do you pay the same fare to Taxi as you pay to Auto rickshaw. Do you pay same amount for economic class as for Luxury class. Do you pay same corporation tax if You are in 3bhk as much a person whio is occupying Duplex. 4 wheeler Insurance amount varies as the CC increases even though it does not increases the seating capacity.
I leave upto your judgement if you wish to be unfair with charging same amt of maintenance for 2 bhk = 3 bhk = Duplex.
The bye laws have clear cut instruction its the question of members concious.
Regards
ASHOK
Dear Mr. Ashok,
I am amazed at your logic. How can you compare taxi and auto-rickshaw to flats.
Let us assume that there is a complex which has 2BHK, 3BHK and Penthouse flats. The things that are common for each of these flats is
1. Security (External)
2. Open Land, lawns and gardens.
3. Electricity expenses for lighting up the compound and other external facilities.
4. Swimming Pool and Club House.
5. Parking, both open and covered.
6. Salary of Manager/ Other staff that is employed by the society.
What is different
1. Carpet area of the apartment.
2. Water consumption of the apartment.
3. External walls of the apartment.
Therefore, for the purpose of calculating the monthly outgoing, every member should share equally the cost of the first set of amenities as these are common to one and all.
As for charging extra, that can be charged for extra water consumption and repair of the building.
As per bye-laws water consumption can be charged based on the number of taps in an apartment. Similarly, repair fund and sinking fund is calculated as a percentage of the area of the apartment.
How can you then say that the bigger flat owners are enjoying at the cost of others?
In a co-operative society, all members are equal and have the same rights and duties.
If one goes by your logic, the person who owns a penthouse should be given 2 parking slots while that with 1 Bed Room should be asked to park his vehicle outside. Will you agree to that?
Also, a smaller flat of 2BHK may be occupied by a joint family of 10 members, whereas the penthouse could be occupied by 2 old people who have saved all their life and whose children are all settled abroad. Would it be justified to charge them extra for water?
Therefore, one has to go as per the bye-laws. If you feel aggrieved by the bye-laws, why don’t you challenge them in a court of law and seek remedy, rather than trying to shame your fellow society members into agreeing to your convoluted logic?
Dear Mr Vinod,
It is amazing to state that the most educated and learned pople have yet to be explained the interpretation of bye-laws. When bye-laws says that maintenance has to be .75 % of construction cost why does it need furthur discussion. It show the mentality of enjoying at others cost. I agree that services which are common in nature needs to be shared equally, i.e. security, and open space electricity consumption. Owners want to enjoy luxury flats but they are not ready to pay for the size and quantum of maintenance. As per your logic you want to travel in a Taxi at bus fare. The very fact you state that duplex should be given 2 parking (Why given if it is available and for sale he should buy and not expect to be given).
In a small flat if 10 people are staying they are at discomfort why should duplex fellow be upset, and where as question of water bill comes it is are wise charged in the muincipal taxes bill.
When I said auto and taxi I simplified for you that If you want luxury you need to pay extra for it and do not depend on others to pay for your luxury.
In major societies All fare minded people have been agreeing to square feet basis maintanance. If property tax is based on square feet basis, stamp duty is on sqaure feet basis as well as locality, Insurance is on square feet basis, painting and services are aslo are wise then WHY such a huge cry to pay at square feet basis where ever applicable.
Ashok,
Please update your understanding – the 0.75% of construction cost is to be recovered for SINKING FUND. Sinking Fund is not the same as Maintenance.
Maintenance is to be shared equally in terms of items which are in common domain = also known as service charges. For Water, it is either to be metered or charged on the basis of connection/taps per flat. For Property taxes, since the corporation bills on area, this has to be shared on area basis. For sinking fund, this is also on area basis as this is related to the cost of construction.
Thus there should be no discussion on Maintenance charges on the basis of area. Maintenance charges have components with different calculation basis.
Do not confuse matters by making general comments. Limit discussions to specifics.
Dear Friends
If you refer the society by-laws, there are several charges payable by members. Most common monthly charges are… charges towards Sinking Fund (0.25%), Repair & maintenance fund (0.75%) and service charges. While Sinking und and repairs & Maintenace funds are meant for long term protection of the society for major repair work, Service charges include day to dat affairs to maintain society which may include minore /routine maintenance (such as cleaning of drainage, repairing of external plumbing works etc.,) These service charges will also include security, electricity etc, provided which is common for all members irrespective of their asset size in the society.
So please don’t considere repair and maintenance charge colected @ 0.75% of construction cost as common service charges whcih is equally payable by all members.
FOr more explanation you may please ask for the detailed explanation of funds to be created and collected by society or read a book published by authors on Housing Society management.
Hope this explains little to all interested parties.
Nipun
Sir,
Do u pay the same fare for rick taxi or railways 2ac and plane economic class. distance is same road travelled route is same. Why enjoy at others cost if you have big flat you pay more simple. When corporation is charging you at area wise and they are providing same facility to both of us i.e. drainage, water, road, electricity and other WHY you do not question there because you know you can not question them but in a society you will dictate own rules coz u are in majority
ashok
i have read all your comments which are commendable. Instead of explaining these guys who pretend to have not understood, I would like to put it in single sentence. This kind of argument should not come up at all. Because there are larger aprtmnets along with smaller ones, the larger units take up more space thereby reducing the number of units, which would otherwise have allowed us to share the expenses equally. They want luxury so bought big units and let them pay for it. as you have rightly mentioned they want to travel in an aeroplane at taxi charges.
sir.i am in a dilemma. i am staying in a rented flat with my husband & my kid.its a single bedroom flat.the apartment where we stay have 9 flats .2 of them r single bedroom and other r double bedroom.and 1 flat of 3 bedroom. the apartment is still not registered under the society registration act. we r staying from past 1 &1/2 years. for so many days we were paying monthly maintainance of Rs 225/- {including watchmen fee,lift,passage lights,& water bill}.other apartment members are
paying Rs 450/-. But recently the members of the flats have decided that even we should pay equal maintainance irrespective of the size of flats. i am very upset .as i am paying a sum of rs 3650/- as monthly rent and the maintanance is too much to be given,.while making the agreement with the owner it is no were mentioned a fixed amount to be given as maintainance. Kindly help me out with this problem.i will be greatful. thank u
Dear large size apartment owners/tenant in Bangalore,
Who are paying significantly higher maintenance fees based on the size of the apartment for the exact same service lets form a mailing group and we intend to take it to BBMP and get a legal stand and force association to adopt “pay equal maintenance for equal services ”
To start with, we will create a mailing group and a facebook and start the discussion. Please send me your email addres at “gigloo@yahoo.com”.
Thanks
Amit B
Hi Amit
I belive that maintenance should not be on a ‘Square feet basis’–especially Charges like Security,Common area maintenenance/lighting should be shared equally by all irrespective of the ‘size of the flat’
It would be great if you could get a ‘legal stand ‘/BBMP involved’.I’ve sent my mail to you…
Thanka and Regards
Rakesh
Sir,
As per your logic LIC shoula also charge the same premium to 5 yrs old child and 50 years old gentleman they providing the same service life cover why there is difference in premium.
Regards,
ASHOK
Hi Amit
I totally agree with you. Have sent you my mail id.
Thank you for taking this up.
Hello Amit,
Please do also bring in reference to the Maharashtra State laws and various acts that pertain to co-operative housing societies and the subsequent bye-laws that have been defined by the Registrar of Co-operative Housing Societies.
You may also correspond with the Mumbai District Co-operative Housing Societies Federation with their head offices in Mumbai for further guidance.
Sir
I own a three bed room flat in an apartment hvaving 153 units. I am not gettng a tenat, hence it is vacant since two years. There is an association and it is demanding Rs.2.50 per Sq. ft. as maintenance chages inluding water consumpton chares. Water is being bought from outsidea as there is no water supply from BWSSB. This apears to be a huge componet. Is it fair to collect same chrges from owners whose flat is vacant for a long time. Will you please advice in the matter.
Thanking you
I own a flat in an apartment complex with around 400 units. My flat is at present unregistered & lying vacant. I intend to keep my flat vacant for couple of years even after registration. Till now, the builder was paying for the maintenance of the complex from the deposit that the builder had collected from all owners. The builder will be soon handing over the corpus amount to the association. Meanwhile the Association has decided to collect the maintenance charges from all apartments soon, irrespective of the amount being handed over by the builder.
The association has included lot of personal consumption expenses (like water, Diesel etc.)in the common maintenance expenses. These consumption expenses are huge.
Since these charges are added along with the common maintenance expenses, I am being asked to bear these charges (either as per sqft or equally). Is it legal to ask me to pay for these charges, even though my flat is vacant & will remain so for a long time ? What are my options in this case ?
Would really appreciate your advice on this matter.
Thanks !
I just wish to clarify that I do not have any objection in paying towards the expenses that are towards the maintenance of common areas but it is unfair to ask the non-residents (whose flats are vacant )to bear for someone else’s personal consumption expenses like water, electricity (these expenses are related to consumption by the residents of the flats and not related to common area consumption) etc by including these charges in the common maintenance expense.
My personal consumption of water, electricity, diesel is zero. This problem can be solved by installing meters but the association is taking their own sweet time to install them. Can someone please answer whether this is legal or not ?
As a general view how can some one avoid pay maintenance for the reason that he is not staying there or his flat is vacant for long. Is it justifiable that in case 50% flats are vacant , pass all the maintenance to remaining occupants. Then the maintenance cost for those people who stay will shoot up for no reason. I feel the cost should be shared by all which will bring down the average cost irrespective of the fact that some one stay there or not.
Hi Kp,
Please see my reply above, I hope that clarifies what I am trying to say if you were referring to my post.
Please see my reply on some of your other points,
1) s it justifiable that in case 50% flats are vacant , pass all the maintenance to remaining occupants.
—- In our complex the situation is reverse, 90 % of the flats are occupied so the occupied flats are in fact passing their personal consumption expenses(water, diesel used in their flats) to the vacant flat owners.
2) Then the maintenance cost for those people who stay will shoot up for no reason.
—–The maintenance cost will go up for occupied flats not because of vacant flat owners (as their personal consumption is zero). Isn’t it justifiable that this cost be shared amongst flats who are using it ? How is it fair to ask the vacant flats pay for occupied flat’s personal consumption ? Isn’t vacant flat owners cost shooting up for no reason ?
Thanks !
Why buy flats if you are not staying in them. For investment…?
If the flat owner is not occupying the flat, please ask that the water connections to the flat be removed. Then water charges will not be applicable. Of course, the said member will have to bear the cost of the connection and disconnection. However, in the case of repairs to the property, the said member will have to bear the portion of the cost on the basis of area.
Charges such as property tax, sinking fund are applicable, even if the member is not occupying the flat. This cannot be escaped.
Also, security, administration, common amenities such as cleaning of the common areas, etc. are also to be shared. It cannot be argued that a proportional area of common area be not cleaned or security be not applicable for the vacant flat/shop/unit.
All societies have to follow Indian State bye-laws ( like companies follow company law ). Bye-laws clearly states the distribution of charges and they are well thought of and fair .
In Maharashtra the bye-law says as follows :
1) Service Charges – Has to be equally divided among members irrespective of area. The logic is that just because you have a larger area flat does not mean you use the lift or security more
2) Repairs and Maintainance – 0.75% of cost of construction of flat divided on square feet basis
3) Sinking Fund – 0.25% of cost of construction of flat divided on square feet basis which has to be deposited at a special bank. The fund cannot be withdrawn without the permission of the registrar
4) Water Charges – Generally the municipality gives individual charges for flats
5) Non occupancy charges – Maximum 10 %
6) Insurance – As per Sq feet
7) Property tax – As per what the municipality has decided per flat
So there is really no ambiguity. All one needs is to read the bye-law book. In case of doubt, all big cities in India have a Federation Office where senior guys give you free advice and requisite forms. For any dispute there is the Registrar and Co-operative court. Again the bye-law book clearly states for which dispute who is the authority.
In our CHS the builder has built wing A first and then Wing B & C. After construction of Wing B & C the builder has sold car parking to some of the tenant. What action can now be taken
Please advise
Hi friends,
In my independent house colony, there are around 300+ villas, majority 3BHK with 8 to 10 2BHK and few 4/5BHK. Till initial 6 months, it was on slab basis w.r.t. the area of house but recently MC passed a resolution to charge all a uniform maintenance money. The major reason for making uniform slab given was that the maintenance amount is towards maintaining common areas like roads, WTP, Parks, Club house & it’s facilities, Security etc. These are uniform for all – all get same capacity of drinking water, OHT Tank water, same number of club Ids etc. However i would like to know if this is logical. Is it not like making smaller houses to pay more even though their area of house, demand and consumption of maintenance is less compared to bigger house. Please suggest.
i have two queries –
1. if a rwa is regd., does it mean the rules regarding charges , of whatsoever nature, also get a legal sanctity.
does rwa has to declare it to registering authority regarding the charges they will be charging from aptt. owners?
2. i heard one rwa is saying, if a person has bought a flat in their apptts., he has to pay entry fee –one time of rs.5,000/= to rs.10,000/= , besides regular subsequent monthly charges. Is this legally correct? Can a rwa demand such money?
3. what is the legal opinion on — if a flat is vacant, is he supposed to pay monthly maint. charges or not. If yes, shall be 100% or part of regular monthly charges?
In our CHS, there are 16 flats and 2 garages. We have to schedule repairs to the outside of the building, for which we will have to collect funds (say Rs. 25000 per flat). Of the 2 garages, one is being used only for storage, and the other has been sublet for use as an office by another Society member (no water connection).
My question is: should the flat owners who are also own a garage have to pay 25000+25000? The model bye-laws (and association rules) place garages on par with flats.
I live in an apartment complex of 8 flats in Hyderabad;six of 2200sq.ft.ad two of 1000sq.ft.four flats are occupied by owners with two adults and one sub-adult;the four others flats are tenants with same proportion till a year back.when a tenant with five family members moved into a third floor flat;ever since he joined,the expenditure on water and electricity for water and lift have made a quantum jump as he has a constant flow of visitors ! and correspondingly the maintenance expenses have increased steeply;so far we have been apportioning the expenses equally between all the flats.
This system or charging maintenance per sq. foot of flat area,does not encourage/ promote economy and frugality in use of water[common supply to all flats&no separate meters for flats] and electricity [on pumping water].Since use of water and electricity are dependent on number of people using them,i am of the view that these should be charged per head ie if the complex has total of 50 regular residents,these charges should be divided by 50, and not per sq.ft of flat area.Security, gardens etc. could be on area of flat.This will encourage thrift in use of our scarce water and power resources. I welcome comments from the forum here.
There must be SEPERATE meters for electricity and water for every flat. The maintenance charges are typically collected for common area electriity/water, security, common area cleaning person’s pay etc. It would be very tough to justfy cleanly the usage as lots of subjective view will come. And my experience is that people comes up with very funny logic related to usage.
we are living in a rented apartments. Last week our residents welfare association gave us a notice saying that bachelors/non-family people have to pay Rs 1000/- extra for maintenance. Is this justified ?
Dear All,
Maintenance charges are for “Common Area” & “Common Facilities”
such as Gardens/Parks, Roads,Staircase, Lifts,Security , Housekeeping, Horticulture, Garbage, Electricity, Water etc.
Expense incurred on maintaining “Common Area” & “Common Facilities” do not depend on the area of the flats, hence, I feel the charges should be borne equally by all residents.
With regards
Dear Mr. Manoj,
You are correct. How ever the logic behind collection of maintenance charges on per sq area is based on the fact that the common area (notionally) owned by bigger area flat owners in bigger ( in proportion to the is flat area) and as such they need to pay more. This is the reason for collecting the charges based on per sq ft area ! But between the two methods I would still vote for flat rate charges for all residents irrespective of the area of their flat !!
Parthasarathy
It is this “notional” argument that is at the bottom of the conflict in the discussions pertaining to the maintenance charges. The law very clearly is above the so called “notional” argument and hence defines that common areas are to be shared equally, i.e. larger appartment owners do not get to use the common areas more than smaller apartment owners. Usage of the common areas is open to all and there can be no restriction placed to prevent access to and usage of the common areas.
People buy only the apartments, not the common areas. This should also explain the error of the assumption that common area has a notional ownership. THERE IS NO COMMON AREA OWNERSHIP. THAT IS THE FACT.
(For Praveennandan) So what if a larger apartment has more electrical connections, more taps, etc. Two arguments here:
1. Nothing prevents a smaller flat owner to install more electrical appliances than that in a larger flat (Nobody in law can prevent the small flat owner to buy a 10ton AC where the actual requirement may be met easily by a 0.8ton AC), and likewise nobody can prevent a small flat owner to use 10 buckets of water for his/her daily teeth brushing needs where at most a couple of tumblers of water should suffice.
2. What one does inside his/her flat should not have any bearing on the common/general area maintenance charges. Administrative charges of putting up a notice or issue of a bill to the flat owner, etc. would be the same per flat owner, irrespective of the size of the flat.
I too agree with Manoj – Lets keep maintenence charges for “common” facilities and activities different from those charges which are directly linked to the size of the flat.
Maybe a larger home would have three bathrooms, more taps and more electrical connection in rooms, hence would require more maintainance. so, it is good if you pay as per sq feet.
I own a flat in a cooperative society in kalamboli, the society charges a fixed monthly maintainence charge, the problem is that our society is anything but maintained. The building is in pathetic condition, plus they allow people to loiter around, there is garbage around the building. We dont stay there but i wonder why do we pay them every month when they are obivously not doing thier job. What action can i take against this. Any info, shared would be appreciated. Thanks.
hi;
my name is johnson an i purchaced a shop in a co hsg soc. we had a common toilet but we dont have a drinking water facilities…wel i need to know as we pay the soc monthly charges same as the house owners then why are we not provided with water connection…pls guide me what are the procedure to get the drinking water connection in our shop. an who is to bear the expences of getting the connection in our shop.
regards.
johnson marian.
My name is Parthasarathy. The logic behind collecting per sq feet is not related to size of the flat purchased as the maintenance is charged for maintenance of common area only.
The reason is when one buys a flat he/she also owns part of the common area ( though it is notional). The person who owns a bigger flat also owns more of the common area ( in proportion to the area of the flat). Hence a person who owns bigger common area pays more.
This is the logic behind collecting maintenance charges on per sq feet area
Parthassarathy
Not all flats are sold on a “Super built-up” or “Built-up” area basis. In earlier times, flats were sold on a “Carpet” area basis. Even now, the local governments are pushing to bring back the “Carpet” area concept.
Thus, charges such as property tax, sinking fund are to be recovered on the area basis as the property tax is charged on the area basis and the sinking fund is based on construction cost which is proportional to the area constructed.
Water charges are to be recovered on the basis of consumption if supported by individual metering or on the basis of connections provided to each flat/shop/unit where individual metering is not available since the local water supply boards charge on the basis of water consumed and not on size of flat/shop/unit.
Other charges such as security, common electricity, lift operations, cleaning, administration, etc. have to be divided equally amongst all the members.
Please do note – members DO NOT OWN common areas. It is important to correct this wrong assumption. Common areas are – COMMON AREAS. No member is allowed to encroach on the common areas or use the same for personal benefit.
In the case of doubt, please do refer to the appropriate laws enacted by the governments and the bye-laws that result thereof.
Hi due to some financial problems we couldn’t pay our maintenance fee and they kept charging us 21% interest..Now because of this we have been charged 95,000 which includes interest but we are only supposed to pay 65,000.We had a common meeting where we addressed our issue and requested them to reduce the Interest amount but they are not willing to do it..When we asked they said that this money goes to Co-operative society and tey will save it in a bank..Is there anything that i can do as we cat pay 95,000 in one go and we want to take the interest amoutn down..your help will be appreciated
Sonji
Dear Sir,
I am living in a society in Borivali east, Mumbai which is affiliated to an association of four societies falling in the same plot. All four socieities have different area size and different number of flats per society. I would like to know how should the societies divide the expenses incurred by the association for common amenities (garden, temple, gate security, etc). should the expenses divided as per area of each society or number of flats in each society or equally divided between all societies?
Regards.
I, the flat owner in a Group Housing Scciety, Noida, sharing MMC on the basis of equal distribution of total common expenses for all type of flats deducting the exclusive expenses of lifts for high rises. The common facilities are rendered for Security, Staff, Electrician, Plumber, Power Backup(including diesel), maintenance & repairs of pumps, motors, gen- sets, electric panel, internal roads, gardening, minor repair of buildings, RO & Softening plant etc other than dedicated service of lift. Lift maintainance including elcetricity & power back expenses equally distributed among the members of high rises extra besides the common expenses for all. The expenses are decided on the yearly actual basis plus condering a percentage of expected hike in market price.
S. K. Roy
Though it stands to reason that the maintenance chrages should be levied based on the carpet area of each house/apartment. Flat maintenace charges should be collected only if the houses/apartments of of similar sizes.
But this legal and logical inference is beyond the ken of knowledge or understanding of the management of a society. If the M.C. comprises of more members owing house/apartment of large sizes they never ever agree for reasonable maintenances chrages based on the area. This is an irony of fate. Some one must come forward to eradicate this anomaly or a provision should be made in the Co-Operative Socities ACT through an enactment.
What reason implies this?
What legal and logical inference are you talking about?
It has been very well defined in various laws and acts as to what constitutes charges that are to be collected on area basis and what have to be collected on the basis of equal sharing.
If there is a legal thing, please go to court and get the maintenance charges charged by your MC to be revised.
In cases of societieshaving flats of different sizes, any Resolution passed for charging the maintenance charges on the basis of area of the flat is not legal. Large flat holders not drawing more benefits or facilities by virtue of the big size of the flats and the services are enjoyed by all the members equally. No rational basis for the society to charge for services on the basis of size of the flats. Bombay High Court held the said resolutions as invalid and inoperative in the case of Venus Co-op. Housing Society and Anr. Vs. Dr. J.Y. Detwani & Ors. reported in 2003 (8) LJSOFT 113
Sanjeev Kuchhal
Maintenance Charges for commercial premises
Demand of society charges/ maintenance for commercial premises at twice the rate charged for the residential premises is not legal. No material was to show that any additional services were provided to the petitioner or any additional maintenance was incurred by the Society on account of petitioner being a holder of commercial premises. Society not entitled to levy society charges/ maintenance charges for commercial premises at twice the rate that of a residential premises.
Non-occupancy charges.
Circular dated 1.8.2001 issued u/s 79-A provide that non-occupancy charges would be assessed not more than 10% of the service charges by the Society excluding the Municipal Charges. No non-occupancy charges would be charged the tenement is given to family members mentioned in the Circular. Directions issued by the Government u/s 79-A are binding on the society. Society not entitled to recover higher charges
Is it correct to charge Service Tax on shared operation costs (named Power Backup) of the DG running operations?
Sir,
we purchased a flat at howrah,which is about 550 sq.ft.and there are 16 flats.four flats are the same size( 550 sq.ft.)and the other flats are bigger thn 550sq.ft.now the others members are demanded the equal maintenance for all.but they have near about 1000 sq.ft. flat area in the apartment.now pls abvice me what should i do in the matter.
thanking you.
nayan
Hello,
In our apartment, there are one room kitchen, one bed room, two bedroom apartments. From past 11 years we all were paying the same monthly maintainence amount. Three of the flat owners have combined two flat at the time of purchase only and registered it as one flat only. Now all of a sudden society is asking these three flat owners to pay double maintainance. W
We are arguing and saying if you want to charge per/sqft basis we are ready to pay, since we are also 2 bhk and others also have 2 bhk.. why only these three people should pay more. Is there any particular rule in deciding the society charges.
Builder sells the house on square feet basis maintenance.Any change done by the Association is a criminal offence and the people should be punished.Property tax and maintenance is on square feet basis.Someone using less water or living single is no criteria.
Anyone who combined two flat at the time of purchase and registered it as one flat only is cheating people to pay less maintenance.Hence such criminal activities should be avoided.I am a lawyer and have been dealing with such cases.SQUARE FEET MAINTENANCE IS THE ONLY LEGAL AND INTERNATIONAL WAY OF PAYMENT.Double flats needs double water for cleaning and extra cost for painting.Two flat registration as one is also illegal and the owner has to re-register it.He also needs to pay very heavy fine.
There are cases where people combine 2-3-4-5- apartments under one registration for paying
less maintenance.If you can’t afford to pay maintenance,there is no point buying a bigger house and then get into legal hazards.
greetings sir,
i just want to ask you that how non ocupency charge is calculated of a chs sosciety of a flat like my total maintance is rupees 430 then how much % will have to pay
becouse the other who are on rent thay are paying 150 rs of non oc charges
it means 430+150=580.
is that correct bill thay r paying ,pleas sir i need your help in this matter
thank you
Hello Sir,
i am shop owner,
I have query for maintanance charges, our society says maintanance charge for commercial is double than flat owner is that true…??
Thanks in Advance
Sir. In our society we have about 160 bungalows. These are of diferent types viz one bed room, two bed oom, three bed room, independant bungalows and studio apartments. Except stuio apartments others have a open garden space. Garden space also differs. Can you suggest the ringt method of sharing of the common servcies like water, street light, security and maintenance.
Hey, thank you for sharing this, it was really cool.
Genuinely interesting concept for me. Please do provide more information on this topic. Will be waiting for ya next write up!
The Maintenance charges is being charged for maintenance of Common area only or common uses of the apartments.
Now the builders charge on Super Built up area of the complete building and also for the area which is marked for club house, or open area or any common area being used by the residents of same apartments.
Now my question is that why the residents has to pay the double charges. The area which he never owe or under his use. The which is used by the resident is wall to wall area only. This area always in between 70% to 75% of the area for which he has paid to builders. The maintenance charges is liable to be paid for this 25% or 30% area only. In that case why the double taxation is imposed on residents.Tax for the area 25% or 30% is also liable to be paid or under compaltion it has to paid which is again against the justification. Hence as per my view the charges should be charged only for beyond the area of area in actual use by the residents. May it more in ratio no matter.
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Dear Friends, Can anyone throw some light on this query.
I live in a 22 member CHS in NaviMumbaiand the society contemplates to do some repairs to orevent leakage.The secrtary in the SGM asked everyone to give him 3 Cheques of Rs10000 eachtoraise the corpus.He is not very clear as to what is the scope of work ,estimated expenses nor the date on which he willstart the work.Few members have taken objections over this adHocismand he also mentioned that overdue amount will attract interest oayment.Irequest your inputs whether ,
Can he collect the amount when there is no clarity onwhat is he going to do ?
Will such corpus fund if delayed will entitle him to charge interst?Please Hwlp urgently.
Vasudhev
Mr. Vasudev,
A SGM is normally convened on a single agenda. In your case it seems to be impending repairs to your building.
If the proposal to collect 3 cheques @ Rs 10,000 has been passed in the SGM, then it becomes the collective will of the SGM (which is the will of the society as an SGM is the same as AGM and is considered to be supreme).
Not withstanding the fact that the Secretary has not got a quotation or an estimate, once a proposal has been passed, all members are supposed to pay up. In case they do not pay up, the delayed payment will be subject to penal interest as others may have paid up by that time.
Also, such a proposal to collect 30,000 in 3 cheques of 10,000 each should not have been accepted by the SGM in the absence of concrete proposal. Now that it has, all members have no option but to comply
Thank you very much Mr Vinod Chand for your painstaking reply.The
secretary could not evenexplain as to what is the scope of repair to
be done.All myapprehensions are due to reason that the earlier
committee (which was onlyan allyof this existing one) exactlydid
thesame wayand did not produce any tangible results. The supporting
members are of their own coterie.Is there anyoption left so that I can
take corrective action to stop any swindling.Thanks again.Vasudhev
Dear Mr. Theexec01 says
Please read BYE-LAW NO. 13(C) AND 69 A (III) that will make things clear who is misguiding.
Why have you not taken up issues with local authority , as they charge Taxes on the basis of area where as they are providing the same service to flat owners irrespective of size but yet charge by area Just because Large flat owners are in majority in those society they behave might is right, Why don’t you argue with LIC who charge premium as per age, As per your mind set person who has put 20 years of service and who has put 30 years of service also should be paid same Pension over there you will not agree? Simple wherever there is benefit we bend that side.
PLEASE refer the dictionary service charges and maintenance is not at all the same.
You want to travel in Taxi at Bus fare.
I am having one residential flat I have given a rent. In this case the society member asking 50% more maintenance charges from me due to I am not residing here and I have given to rent. If it is right or wrong
Sir,
I am leaving in unathorised apartment.Society is decided to repair building due to 20 years old construction due some lekage problem in top floor. There are diffrent squre feet area flats (400,200 squre feet etc). Society decided to calculate all repaire charges on equal bases ;but some small flat owner not accepted .They want calculation of charges on squre feet basis.Please guide me ,is there any law ?if their please provide me by mail on urgent basis.
Really appreciable post!
Dear Sir,
We are have 3 Flat on each floor have 405, 550, 845 sq ft respectively,
Current officer bearer are asking to pay common service amount (Eg. watchman, sweeper, street light, water tax, misc. etc.) due to this I small flat owner have to pay much more Amount equal to Big flat owner is it fare {about Rs0.75/- per Sq ft extra I have to pay which comes to Rs 66 per month, yearly Rs792}
Second think new committee is not showing any break up in Maintenance Bill only one amount is shown BILL. Is it not necessary to show the detail on bill
If I wish to pay my Maintenance Bill directly to Registrar Office what I have to do.
Pl. advise on my EMAIL ID
Thank
Thanks a tonne for the post! Maintaining things at apartments is a big deal for me. Have grasped a lot from here.
Can you please let me know on why and what basis is the apartment maintenance charges are collected in detail?
There are certain services at our apartments which we do not use like; parking, swimming pool and all. Are these included in the apartment maintenance charges?
Can u please tell me whether i have to pay the maintenance bill of my new flat to the builder yet society is not formed.
I really appreciate this and i’m working myself to get some more info and specification on this.
i have purchased a flat from the key builder at bhayander. He has done all the formalities, such as registration , stamp duty, electricity and water supply connection. after 6 months i recivied a notice from the corporation , that the said building is illegal constructed and hence vacate it within week , as corporation going to demolish it. I immediately filed writ petition before the high court , contending that if the state has provide everything to the building then now how they can declare the building illegal? please do help me .
Dear Ms. Nisha,
As you have already filed a writ petition in the high court, why don’t you wait for it’s outcome?
Please do post the outcome as everyone would be interested to know it’s outcome as it can affect future purchases by others who read this forum.
IMHO, having water and electrical connection and paying stamp duty and registration charges is no guarantee that a building is legal. Every building is provided with a water connection at the time of construction which builders later route to the occupants saying that water connection is available. Similarly, the electric supply company like Reliance are duty bound to provide new connection within 6 months of receiving an application for new connection. As far as Stamp Duty and Registration is concerned, Government department will accept stamp duty on almost any document. In fact large notices have been placed in the registration offices informing public that a registered document is no guarantee that the transaction is legal.
What a registered document serves as, is proof that there is a seller who claims that he is sufficiently titled to sell a property and that there is a buyer who is willing to buy that property.
There have been many cases where an unscrupulous seller has sold one single flat to many buyers with each holding a stamp duty paid and registered document. In such cases the courts tend to grant possession to the first registered document holder.