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Table of Contents
Rent Agreement Format for Jharkhand
At eSahayak, we offer pre-designed rent agreement format specifically tailored to meet the requirements of Jharkhand. Our format incorporates the relevant clauses and provisions mandated by the local laws, ensuring compliance and legality.
Our rent agreement format for Jharkhand cover essential aspects such as the duration of the agreement, rent fixation, maintenance responsibilities, and other crucial terms and conditions outlined in TheJharkhand Buildings (Lease, Rent and Eviction) Control Act, 2000.
With our user-friendly interface, landlords and tenants can easily select and customize the rent agreement to suit their specific needs. You can customise the agreement by filling in the necessary details, including the parties involved, property information, rent amount, and other specific terms and conditions.
Our pre-designed rent agreement format simplifies the process, saving you time and ensuring that your rent agreement accurately reflects the agreement between you and the other party. You can conveniently adapt the format to include additional clauses or provisions based on your unique requirements while adhering to the legal framework provided by the state.
Important clauses which should be covered in a Rent Agreement
When drafting a rental agreement, including the following clauses can help protect both the landlord and tenant and avoid potential disputes:
- Payments: Clearly state the amounts for rent, monthly maintenance, and security deposit to avoid confusion. Specify the due date for rent payment each month.
- Late Payment Penalty: Outline the penalty or additional charges that the tenant may incur for delayed rent payments.
- Lock-in Period: Specify the minimum duration during which neither party can terminate the contract to prevent unexpected early termination.
- Consequences of Overstay: Clearly state the penalties or charges if the tenant continues to occupy the property after the lease term is over without renewing the agreement.
- Food Habits: If the landlord has specific restrictions on food habits within the property (e.g., no consumption of non-vegetarian food, alcohol, or drugs), explicitly mention those restrictions in the agreement.
- Pets: If the landlord does not permit pets on the property, include a clause stating that pets are not allowed.
- Maintenance and Repairs: Define the responsibilities of both parties regarding property maintenance and repairs. Specify who is responsible for certain types of repairs and how they should be reported and addressed.
- Subletting: Clearly state whether subletting the property is allowed or not. If allowed, outline the conditions and requirements for subletting.
- Security Deposit: Clearly mention the amount of the security deposit and the conditions under which it will be refunded to the tenant at the end of the lease term.
- Notice Period: Specify the notice period required by both parties for early termination of the agreement.
- Entry and Inspection: Establish guidelines for how and when the landlord can enter the property for inspection or maintenance purposes.
- Use of Property: Outline the permissible use of the property by the tenant and any restrictions or prohibitions on certain activities.
- Utilities and Bills: Clarify whether utilities like water, electricity, gas, etc., are included in the rent or need to be paid separately by the tenant.
- Dispute Resolution: Include a clause for dispute resolution, such as mediation or arbitration, to settle any disagreements between the parties.
A Closer Look at Jharkhand Buildings (Lease, Rent and Eviction) Control Act, 2000
The Jharkhand Buildings (Lease, Rent and Eviction) Control Act, 2000 (hereinafter referred to as the “Jharkhand Rent Act”) regulates the letting of buildings and the rent of such buildings in the state of Jharkhand. The Act provides for the following with respect to rent agreements in Jharkhand:
- Premiums and advance rent are prohibited. The Act prohibits landlords from collecting any premium, salami, fine, or other similar sum in addition to the rent, or from collecting more than one month’s rent in advance.
- Rent can only be increased in accordance with the Act. The Act sets out a procedure for increasing rent, which must be followed by landlords. Rent can only be increased once in a year, and the increase must not exceed 10% of the existing rent.
- Tenants have certain rights under the Act. Tenants have the right to quiet enjoyment of the premises, the right to make reasonable alterations to the premises, and the right to renew their tenancy at the end of the lease term.
- Landlords have certain responsibilities under the Act. Landlords are responsible for maintaining the premises in a habitable condition, and they must give the tenant reasonable notice before evicting them.
Stamp Duty and Registration in Jharkhand
Mostly people in Jharkhand pay Rs. 100 as a stamp duty for rent agreements having a duration upto 11 months.
Here is the information on stamp duty charges for rent agreement in Jharkhand for tenancy of 11 months and more than 11 months:
Lease Term | Stamp Duty Calculation |
---|---|
Less than one year | 3% of the total annual rent amount |
1 to 5 years | 3% of the average annual rent reserved |
More than 5 and up to 10 years | 7% of 1.5 times the average annual rent reserved |
More than 10 and up to 20 years | 7% of 3 times the average annual rent reserved |
More than 20 and up to 30 years | 7% of 5 times the average annual rent reserved |
More than 30 and up to 100 years | 7% of 8 times the average annual rent reserved |
Let’s understand this with an example.
If the annual rent of a property is Rs. 1,80,000 with an annual increase of 10% in rent then what will be the stamp duty for 5 year agreement duration?
To calculate the stamp duty for a 5-year lease agreement with an annual rent of Rs. 1,80,000 and a 10% annual increase in rent, we’ll follow the formula provided in the table.
- Calculate the average annual rent reserved over the lease term.
- For the first year: Rs. 1,80,000
- For the second year: Rs. 1,80,000 * 1.10 = Rs. 1,98,000
- For the third year: Rs. 1,98,000 * 1.10 = Rs. 2,17,800
- For the fourth year: Rs. 2,17,800 * 1.10 = Rs. 2,39,580
- For the fifth year: Rs. 2,39,580 * 1.10 = Rs. 2,63,538
- Use the formula for the stamp duty calculation for a 1 to 5-year lease: Stamp Duty = 3% of the average annual rent reserved Stamp Duty = 0.03 * Rs. 2,19,584 Stamp Duty = Rs. 6,587.52
So, the stamp duty for a 5-year lease agreement with an annual rent of Rs. 1,80,000 and a 10% annual increase in rent would be approximately Rs. 6,587.52.
Regarding registration, it is not mandatory for rent agreements with a duration of less than 11 months in Jharkhand. However, if you plan to create an agreement for more than 11 months, registration becomes mandatory.