| Procedure 1. | Conduct a search in the office of Sub-Registrar and obtain a non-encumbrance certificate |
| Time to complete: | 15 - 21 days |
| Cost to complete: | INR 7,500 |
| Comment: | The purchaser should conduct a search of the property for a period of 30 years in the office of the Jurisdictional Sub-Registrar of Assurances where the property is located, in order to ascertain any charges or encumbrances are created in respect of the concerned property. Parties or their lawyer will apply and emit non-encumbrances certificates on completion of the personal searches carried out on the concerned property. While investigating the title it should be verified with the "Patta" legal ownership document, that (1) the property is in the name of the Owner, issued by the Revenue Department under the Seal of the Tahsildar, (2) the property is transferable and heritable, (3) the transferor is competent and/or authorized to transfer the property, (4) the transferee is qualified to be a transferee, (5) the object or consideration for the transfer is lawful, (6) the transfer has been made and completed in the manner prescribed by law. Also, all papers with regard to payment of taxes, the electricity bills and water bills may need to be checked, especially in the case of high-consumption properties such as factories; for a warehouse, it may not be necessary, or the vendor will simply present recent receipts to the purchaser. It takes 15-21 days because, though computerization in Calcutta has begun, only records from 2003 are electronic and there are other difficulties getting the system started. If the seller is a Company incorporated under the provisions of the Companies Act, 1956 then it is advisable to take search in the office of the Registrar of Companies to verify whether there is any charge on the property registered under the provisions of Section 125 of the Companies Act, 1956. |
| Procedure 2. | Purchaser deposits stamp duty with the State Treasury and obtains Stamp Papers |
| Time to complete: | 1 day |
| Cost to complete: | 1.1% of property value (registration fee) + + 8% of property value (Stamp Duty) |
| Comment: | Once a draft of the sale agreement has been agreed, the parties must pay the Stamp Duty, registration fee and the Calcutta Improvement Trust fee at the office of Sub Registrar of Assurances. A special Stamp Paper, required to prepare the final sale agreement, is obtained after payment of stamp duty to the State Treasury. The Calcutta Improvement Trust is a government body responsible and working for the improvement of the city and the fee is used for the improvement of the state. The sale agreement is by standard practice prepared by a lawyer, although it is not a mandatory requirement. |
| Procedure 3. | Lawyer prepares Final Sale Deed and Transfer Deed |
| Time to complete: | 3 days |
| Cost to complete: | INR 5000 |
| Comment: | It is common practice in Calcutta to use a lawyer for this type of transaction. |
| Procedure 4. | Submit documents and receipts with the office of the Sub Registrar for registration |
| Time to complete: | 10 - 15 days, up to 100 days without follow-up |
| Cost to complete: | already paid in procedure 2 |
| Comment: |
The final Sale Deed, written in Stamp Paper, is submitted (with the required documents) with the office of the Sub Registrar of Assurances within whose jurisdiction the property is located. The respective authorized signatories of the Seller and Purchaser are required to be present along with two witnesses in order to execute the sale agreement Normally, as per practice the Seller hands over the peaceful vacant and physical possession of the property to the Buyer simultaneous to the Deed being presented for Registration. Thereafter endorsements are made under Section 52, 58 and 60 of the Registration Act on the document after completion of procedures before Sub-Registrar. The document is copied into the register book, copies of the document are pasted onto 2 indexes one titled "name and property", and the other titled "accounts and reports". The document is delivered on the production of the receipt issued by the cashier in respect of the document at the time of presentation. When a document is presented for registration under section 19 and is not in a language known to the Registering officer, the translation together with the true copy of the document be filed in the appropriate book (as per W.B.Act 17 of 1978). The documentation shall include: Documents which are required to be presented are : 1. Document required to be registered (in duplicate) 2. Two Passport size photographs of the authorized signatories of both parties 3. Photo -identification of each party and witnesses i.e. Voters' Identity Card, Passport, identity Card issued by Govt. of India, Semi Govt. and Autonomous bodies or identification by a Gazette Officer. 4. Certified True copy of the Resolution of the Board of Directors' of both Seller and Purchaser (already in possession of seller), and power of attorney where applicable |
| Procedure 5. | Apply to Municipality for mutation of the title of the property |
| Time to complete: | 65 - 90 days |
| Cost to complete: | INR 5,500 - 8,000 |
| Comment: | After receipt of the registered title deed, an application is made by the Purchaser to the Municipal Authority seeking mutation of the title of the property in its favour. The authorised signatory has to submit the duly signed application alongwith affidavit, indemnity bond, and a certified/notarised copy of the registered title deed. After the assessment of the request for mutation, the Municipal Authority settles the rateable value for levying tax on property and then issues a letter of mutation in favour of the purchaser certifying the fact that the property has since been mutated in the Purchaser's name. |