In a recent move to provide relief to countless flat owners and tenants, the Maharashtra government has passed a Government Resolution (GR) in which they have regularized the rules for the sale or transfer of flats in cooperative societies built on government-allotted lands. The new GR which is issued by the Revenue and Forest Department will also help in regularisation of unauthorized transactions.
The new norms will be applicable across the state. According to the state’s revenue department, a three percent or five percent transfer fee shall be charged from now onwards, based on the Ready Reckoner Rates, for transfer of flats without prior permission. In case of transfer of flats to family members, or transfer by gift deeds or an executed will, the transfer fee will not be applicable.
As per the Government Resolution, “In case of redevelopment of buildings built on government-allotted lands, where extra new flats are constructed, the eligibility rules for existing members at the time of allotment of land won’t apply to the new members (who purchase flats in the redeveloped society).”
However, the statement further said that after buying flats in a redeveloped building, it will be mandatory for the new members to seek prior permission from the district collector and pay transfer fees or mortgage fees, upon transfer or mortgage of such flats in future.
The resolution of the state government also mentions that in case a transfer took place without the permission of the district collector, the department will charge a transfer fee at the rate of three percent. Later, the collector can regularise such transaction. On the other hand, if the transfer took place in contravention of the rules like before the society gets the completion certificate, a five percent transfer fee will be recovered, for regularisation.
The Maharashtra government has also recognized the unauthorised transfer of rights for commercial tenements existing in such societies. In order to curb this, department has decided to raise the penalty amount.