Different deals related to land like Land Acquisition, Sale, Purchase, Construction and loans have different legal acts applicable to them. But due to lack of knowledge of these acts, we overlook them while doing transactions related to land.
Thus, for education of our readers relating to these acts, LoanKuber has prepared an exhaustive list of legal acts applicable to land deals in India.
- Transfer of Property Act, 1882 – It is one of the most important acts relating to land deals in India. This legislation regulates the transfer of property in India. It contains specific provisions regarding what constitutes transfer and the different conditions attached to it. According to the Act, ‘transfer of property’ means an act by which a person gives property to one or more persons, to himself and one or more other persons. The act of transfer may be done in the present or for the future. Any individual, company or association of individuals may transfer any property including immovable property.
- Registration Act, 1908 –This is also an important act which provides a method for registration of documents so as to give information to general people regarding legal rights and obligations arising or affecting a particular property, and documents to be perpetuated which may afterwards be of some legal importance, and also to prevent fraud. Due to this act certain documents cannot be violated and importance has been attached to it.
- Indian Stamps Act, 1899 – This Act provides for the payment of stamp duty in all real estate transactions to duty to the local government. The value of the stamp duty to be paid depends on the rental payable and the lease term or the sale value as the case may be. This stamp duty is paid by purchasing non judicial Indian Stamp Paper, on which the lease/sale agreements are documented.
- Land Acquisition Act, 1894 – Untill 2013, this act governs the process of land acquisition . It allows the acquisition of land for public benefits by a government agency from individual landowners after paying a pre-determined compensation to cover losses incurred by landowners from surrendering their land to the agency. This cost is usually determined on current market rate basis.
- Companies Act, 2013 – This act governs incorporation of a company, responsibilities of a company, directors, provisions for a company in case of dissolution. This Act has partially replaced The Companies Act, 1956 with the assent of the President of India on 29 August 2013.
- Income Tax Act 1961 – This Act is the governs Income Tax in India. Income Tax is one of the most important revenue generating tool for any government. It provides for administration, levy, recovery and collection of Income Tax by Income Tax department. Recently the Government of India is replacing Income Tax Act,1961 and the Wealth Tax Act, 1957 and has brought out a draft called the “Direct Taxes Code”.
- Hindu Succession Act, 1956 – This Act is one of the most Act of the Parliament of India and was enacted to amend and codify the law relating to intestate or unwilled succession, among Hindus, Buddhists, Jains, and Sikhs. uniform and comprehensive system of inheritance and succession were laid down in this act. This Act abolished the Hindu woman’s limited estate. Any property possessed by a Hindu female is to be held by her absolute property and she is provided with full power to deal with it and dispose it of by will as she likes.
- Indian Contract Act, 1872 – This Act codify laws relating to contracts in India. This law is applicable to all the states of India except the state of Jammu and Kashmir. Circumstances under which promises made by the parties to a contract shall be legally binding on them are determined by this Act. Most of us enter into a number of contracts on daily basis. Each contract has the power to create some rights and duties on the contracting parties. This Act deals with the enforcement of these rights and duties on the parties within India.
- Power of Attorney Act, 1882 – This act is applicable to whole of India except state of Jammu and Kashmir. This Act came into force on May 1882.This act defines short titles, Execution under power of attorney, Payments method by Attorney, Deposit of original Instruments. and power of attorney for a married woman.
- Indian Partnership Act, 1932 – All Partnership firms in India are regulated by this act which was enacted by Indian . It came into force on October 1932. Indian Contract Act governed the partnerships before enactment of this act. Ministry of Corporate Affairs administered this act.
- Limited Liability Act, 2008 – This Act was enacted to introduce and legally sanction the concept of LLP in India. Unlike the general partnerships, LLP is a body corporate and this legal entity is totally separate from its partners, It has perpetual succession and any change in the partners of a LLP shall not affect the existence, rights or liabilities of the LLP.