Clarification regarding transfer premium charged by society
Bimal Bhatia
(Querist) 11 December 2020
This query is : Resolved
We have office in the name of my Late father's HUF. Now my elder brother and me are the only 2 members of the said HUF. As per family understanding I purchased the said office and Registered the Agreement. Now since it is a Family Transfer can the Society charge Transfer Premium of 25000 ?
Isaac Gabriel
(Expert) 11 December 2020
If none object, what is the necessity to register?.
Bimal Bhatia
(Querist) 11 December 2020
How can the property be transferred without Registration ? Anyways as I said Registration is already done and Transfer documents have been submitted to Society. Confusion is only regarding Tranafer Premium - which as per bye laws is not to be charged if transfer is within family. Society is of the view that since this is Sale Agreement Transfer Premium should be charged.
Isaac Gabriel
(Expert) 11 December 2020
If the bylaw violated report to the registrar , or file a dispute uner the provisions of bylaw or the Act.
Bimal Bhatia
(Querist) 11 December 2020
Appreciate your reply. But Society seems to be unaware of the exact rule...as per them if its a Gift only then the Transfer Premium is waved. However as per what I understood any transfer within the family is covered under this irrespective of the fact whether it is Gift or Sale Deed. Hence need the esteemed opinion of some expert on this.
kavksatyanarayana
(Expert) 11 December 2020
You have purchased the property which is the best. And obtain a copy of Bylaws of the Society and find any such term/condition or clause. If there is no such clause the society cannot charge the transfer fee. Still, they will force you have to complain to the Deputy Registrar of societies of your district.
SHIRISH PAWAR, 7738990900
(Expert) 12 December 2020
Hello,
You have to verify with society bye-laws. If it is excluded then you need not pay the transfer charges. However, you have valid point so you can approach the sub-registrar against society's decision.
Dr J C Vashista
(Expert) 13 December 2020
What is the type of Society referred by you in your post ?
Whether there is some clause in the Bye-Laws of said Society ?
What is concern of the Society qua transfer of title/ share of one of the member of HUF ?
Whether all the male and female family members (less married sisters/ daughters ) of the HUF included in the said family agreement ?
Dr J C Vashista
(Expert) 13 December 2020
There are number of unanswered questions on the subject, therefore it would in appropriate to form an opinion and oblige.
It would be advisable to consult and engage a local prudent lawyer for better analyses of facts/ documents, professional guidance and necessary proceeding.
Rajendra K Goyal
(Expert) 13 December 2020
Information sought by the expert Dr. J.C. Vashishta ji need to be provided for further advice.
Bimal Bhatia
(Querist) 13 December 2020
This is a Premises Co-operative Society in Mumbai, Maharashtra. As already informed it is mentioned in the Bye Laws, point is how does one interpret it. Society has no issues whatsoever in Transferring the said office, only confusion is whether the Transfer Premium of 25K is to be charged. And I clearly mentioned right at start, AS PER FAMILY UNDERSTANDING, so its not a Family Agreement, but a Normal Sale Agreement. And as already informed earlier, we are the only 2 members of the said HUF.
Rajendra K Goyal
(Expert) 14 December 2020
This is not a transfer (after demise of owner), it is registered sale, although it is within family.
If bye - laws are clear for charging fee on sale, you are liable to pay.
Bimal Bhatia
(Querist) 14 December 2020
I guess you replied without even referring to the Bye Laws. Transfer happens only after SALE / GIFT / DEATH
T. Kalaiselvan, Advocate
(Expert) 09 June 2021
You may understand the word transfer here;
This is a transfer by a registered sale deed to you executed by your brother on receipt of sale consideration amount paid by you, hence you cannot claim it to be a transfer within the family members, viz. gift deed, etc.
Hence the society may be held right in their view by asking you to pay the applicable transfer fee for the transfer of property by a registered sale deed.
Bimal Bhatia
(Querist) 09 June 2021
Well you are mistaken here. The Society wrote a Letter to the Deputy Registrar and their opinion was clear that since the Sale / Transfer is within the family (with or without consideration) there are No Transfer Charges. So matter is resolved and Society has transferred the said office without any Transfer Premium. Thanks & Regards
