Power of Attorney for purchase of flat in company's name
AMIT KARIA
(Querist) 25 August 2009
This query is : Resolved
Hello,
My director wants to purchase a residential flat in the name of the company. Can a power of attorney be executed in favour of an outsider to purchase the flat & complete all the formalities including registration.
The person is niether director nor an employee & is not assciated with the company in any manner?
Can this be done?
If yes, then what value of stamp paper to be used for executing the POA?
Waiting for your replies
Thanks.
AMIT KARIA
(Querist) 25 August 2009
Sir, what should be the value of the stamp paper on which we'll have to execute POA?
Jayashree Hariharan
(Expert) 25 August 2009
s, surely it can be done. stamp paper value is Rs. 1,000/-
AEJAZ AHMED
(Expert) 25 August 2009
Dear Amit Karia
The Indian Registration Act does not list a Power of Attorney as a compulsorily registerable document but it does require authentication.
A Power of Attorney is nothing but a document showing that an agent has been appointed to act on one’s behalf for certain purposes. The law relating to agency is governed by The Indian Contract Act.
Registration:
Even though Indian Registration Act does not list Power of Attorney as a compulsorily registerable document. However, it states that if a power of attorney holder presents a document for registration as an agent of another, then it should have been authenticated. This means that the executants should have got the power of attorney authenticated (there is hardly any difference between authentication and registration for practical purposes) in the sub registrar’s office, which has jurisdiction over where he resides
Generally, the stamp duty payable on a POA is Rs 100. A GPA may be notarised or registered. For registration of a POA, the fee payable is Rs 100.
If powers are given to sell property 1) to a developer, the fee is Rs. 1000/
If the power is given to relatives, (father, mother, wife, husband, son, daughter, brother or sister) to sell immovable property, the stamp duty is Rs. 100/-
Kindly go through the following sites for full satisfaction.
http://www.nrilegalservices.com/power_of_attorney.aspx
http://www.legalserviceindia.com/articles/registration.htm
http://www.businessgyan.com/content/view/647/431/
http://content.dell.com/in/en/business/d/sb360/Power-of-Attorney.aspx
http://www.mysensex.com/insurance-loans/9912-what-power-attorney-how-stamp-duty-applicable.html
Therefore, in your case as per me it Rs. 100 stamp duty is suffice.
AMIT KARIA
(Querist) 25 August 2009
Plz guide, whether in my case, Rs 100 or Rs 1000 stamp paper will be required.
R.R. KRISHNAA
(Expert) 25 August 2009
Rs.100 stamp paper is sufficient.
Yash
(Expert) 25 August 2009
Mr. Ahmed is right. There is no restriction prescribed in law so far as relationship of donor and donee (of power of attorney) is concerned. It is given to person in whom faith is reposed and so it can be person of choice of the donor of PoA.
Amount suggested by Madam Jayashree seems to be a result of type mistake !
