when is the sale deed executed for an under construction flat

Q: http://www.rediff.com/money/report/perfin-what-you-should-know-about-a-sale-deed/20100119.htm

http://articles.economictimes.indiatimes.com/2009-12-20/news/27664615_1_sale-deed-main-document-seller

Within 4 months of the sale deed one needs to pay stamp duty and registration charges else we will have to pay penalty.

Sale deed is made after agreement of sale.
But I am unable to verify as to when is the sale deed made? Can the sale deed be made just after booking the flat and signing the sale and the construction agreement or is it made only when the builder hands over the flat?

Sanjay Pai, Apartment Resident

26th February 2015

Legal in Ahmedabad

sale deed

stamp duty in ahmedabad

registration charges in ahmedabad

under construction flat

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Replies (2)

Hi Praveen,
"Sale Deed" is the instrument/agreement by which the property is actually transferred by vendor to the purchaser after the receipt of the full consideration amount. (Actually sold and purchased). If you builder hand over the flats then go for the sale deed otherwise you have to face a lot of difficulties once the project get delay. So, be careful.

Lalit Verma, Mumbai

27th February 2015

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@Lilit,
Both Agreement to Sale and Sale Deed shall be registered after paying the applicable stamp duty. It is not necessary to pay the entire stamp duty at the time of registration of agreement to sale. Whatever stamp duty paid will be adjusted to the actual stamp duty which is to be paid while registration of sale deed.

Praveen Modi, Mumbai

27th February 2015

Hi Sanjay,
Without delivery of possession do not execute sale deed. It is done only if the possession is already delivered. Sale deed can contain a clause that posession will be handed within specific time period. in the event builder is unable to deliver posession within the period specified he shall be liable to pay interest at 18%for the delay in handing over posession.

Praveen Modi, Mumbai

27th February 2015

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