What is power of attorney rule in India?
Asked by: Catharine Spencer | Last update: December 6, 2023Score: 4.2/5 (75 votes)
Section 2(21) Indian Stamp Act 1899 Power-of-attorney includes any instrument (not chargeable with a fee under the law relating to court-fees for the time being in force) empowering a specified person to act for and in the name of the person executing it.
What can a power of attorney do in India?
A "power of attorney" is a legal instrument whereby one person gives another person the authority to act on his or her behalf as his legal representative, and to make binding legal and financial decisions on your behalf.
Can someone sell your property with power of attorney in India?
A power of attorney is not a valid instrument to transfer property titles when buying or selling a property. However, due to the financial benefits, it provides to both the buyer and the seller, selling a property through a general power of attorney has become common practice in Indian cities.
How long is the power of attorney valid in India?
Also note here that a PoA has to be registered at the Sub-Registrar's Office to get a legal validity. Another important thing to note here is that a PoA remains valid only till the life of the principal. Within their lifetime also, one can revoke the PoA.
How long is NRI power of attorney valid in India?
A POA is valid only during the lifetime of the principal. However, the principal can revoke/cancel it anytime, if required.
What is Power of Attorney, General Power of Attorney, Lasting Power of Attorney (30)
How to give power of attorney to someone in India from abroad?
Draft the Power of Attorney deed online or hire a lawyer in India to draft it for you. Get the deed attested by the Indian embassy or consulate in that country. Any Notary from there can also attest it. The person making the deed, the Grantor, should sign the deed in all pages.
How NRI can sell property in India without coming to India?
An NRI can sell his/her residential or commercial property to either a person residing in India, another NRI or a person of Indian origin (PIO). One can also mortgage the property to an authorised real estate dealer or a financial institution dealing with home loans.
Can NRI sell property in India through power of attorney?
There is a simpler and straightforward answer to this. By drawing up the Power of Attorney for the non-resident Indians to sell their property in India, one can undoubtedly complete their exchange without in a real sense heading out to India. A power of attorney to sell property in India is not complicated.
Can NRI buy property in India without power of attorney?
Power of attorney: NRIs must provide a power of attorney in case they're not in India for executing the purchase transaction. Please note that you will need a special power of attorney which is registered and notarized and not a general power of attorney to execute a property transaction.
Can OCI give power of attorney in India?
Steps an NRI or OCI/PIO can follow to send PoA:
Provided that the granted authority is notarized and apostilled, the emigrants can entrust their certain powers. They should remember that the mandatory certificate attestation services must be carried out by the Indian Consulate or Embassy.
Can a power of attorney transfer money to themselves in India?
Adding more to “what all decisions a power of attorney cannot make”, an attorney cannot give big financial gifts, take decisions on their related to discretionary funds, do tax planning, misuse power for personal interests and can't transfer money to their own account.
How much does it cost for power of attorney in India?
It will be called as "Power of Attorney for Consideration 0.5% (subject to a minimum of Rs. 1,000/-and maximum of Rs. 20,000/-)" Registration fees will be applicable. Yes and if brother will also authorize to execute sale deed than register the POA at sub registrar office.
Can OCI card holder sell property in India?
Yes. OCI Cardholder is at parity with Non-Resident Indians (NRIs) towards property transactions. As per FEMA, RBI frames the Directions / Regulations concerning the Acquisition and Transfer of immovable property in India.
Can OCI card holder get home loan in India?
Home Loan. Non Resident Indians holding Indian Passport can avail Home Loan from the Bank for purchase of Residential property in India. PIO (Person of India Origin) and OCI (Overseas Citizen of India) possessing foreign passport can also be sanctioned Home Loan.
Can overseas citizen of India inherit property?
An NRI or OCI can inherit any immovable property (such as land or buildings) in India, whether it is residential or commercial. They can even inherit agricultural land or a farmhouse, which they are otherwise not entitled to acquire by way of purchase.
What are the new rules for NRI in India?
If an individual is physically present in India for 182 days or more during the relevant FY, they will qualify as a resident. Alternatively, if they are physically present in India for 60 days or more during the relevant FY and 365 days or more in the preceding four FYs, they will also qualify as a resident.
What if an NRI sell property in India?
When an NRI sells property, the buyer is liable to deduct TDS @ 20%. In case the property has been sold before 2 years(reduced from the date of purchase) a TDS of 30% shall be applicable. NRIs can claim exemptions under Section 54, Section 54 EC, and Section 54F on long-term capital gains.
When an NRI sells property in India?
An NRI selling a property in India will have to pay tax on capital gains. On long-term capital gains, 20% tax is paid; on short-term capital gains, income tax is levied as per income tax slabs.
Can I sell my property in India and bring money to Canada?
NRI selling property in India will have to pay capital gain tax in India. Further, he/she can claim exemption from capital gains by investing in any other asset in India for claiming exemption u/s 54 and 54F etc. NRIs can sell property in India and can legally repatriate the money to Canada.
How can I sell my property from abroad in India?
- Passport as an Id proof.
- PAN Card to apply for tax exemption certificate after the sale of the property.
- Tax returns, if the property yields earnings.
- Address proof of India and abroad.
- A sale deed as proof of ownership.
Can NRI sell property in India below 50 lakhs?
Moreover, this TDS on purchase of Property from NRI is required to be deducted irrespective of the Transaction Value of the Property. Even if the value of property is less than Rs. 50 Lakhs – this TDS is required to be deducted.
How do I get power of attorney from Canada to India?
Your Attorney will need to register the Power of Attorney in the offices of the Sub-Registrar of the relevant area in India. Your Attorney will be required to present and submit evidence of his/her identification alongside the Power of Attorney. A small fee will also be payable to process the document.
Can Canadian citizen own property in India?
Yes, Canadians who are residing in India may purchase immovable property in the country, however they must obtain approvals and satisfy any relevant requirements that have been imposed by governmental authorities such as State Governments.
Can OCI card holder live permanently in India?
Overseas Citizenship of India (OCI) is a form of permanent residency available to people of Indian origin and their spouses which allows them to live and work in India indefinitely. Despite its name, OCI status is not citizenship and does not grant the right to vote in Indian elections or hold public office.
Can OCI buy property in India without PAN card?
NRIs are required to present their Indian passport. If you have an OCI (Overseas Citizen of India) card or a PIO (Persons of Indian Origin) card, you can purchase real estate in India even if you have a foreign passport. You will have to produce the PAN card as it is required in real estate transactions.