e-StampNotary
What it is for
A rent declaration is asked for by someone who is not a party to the tenancy and needs the position stated on oath. The commonest requests are these:
- An employer, for a house rent claim, where the rent is paid to a family member or the arrangement is informal.
- A department or a utility, as evidence that the applicant occupies the premises - see utility connection affidavit.
- A tax officer, for a place of business - see GST registration affidavit.
- A school, for admission where residence in a catchment is in question.
- A society or a bank, where the applicant's address does not match the documents held.
A declaration records that a tenancy exists. It does not create one, and it gives neither side the rights that a properly drawn agreement gives. If you are letting premises, draw the agreement. If you are taking premises, insist on one. A sworn page saying "he is my tenant" is no help at all when a dispute arises about the term, the deposit or the notice.
The registration point - read this before signing anything
Under section 17(1)(d) of the Registration Act, 1908 leases of immovable property from year to year, for a term exceeding one year, or reserving a yearly rent, are compulsorily registrable. Section 18(c) makes leases not exceeding one year optionally registrable. Section 49 provides that an unregistered document which was compulsorily registrable shall not affect immovable property, nor confer any power to adopt, nor be received as evidence of any transaction affecting such property - with a proviso preserving it as evidence of a contract in a suit for specific performance and of a collateral transaction.
That is why the eleven-month arrangement is standard in Gujarat and everywhere else. If your arrangement runs longer than a year, or reserves a yearly rent, it should be registered through the Garvi system, and a notarised declaration is no substitute. See notarised versus registered.
Who should depose
It depends on who is asking. An employer verifying a rent claim usually wants the landlord's declaration - that the premises are owned by the landlord, let to the named tenant, at a stated rent, for a stated period, and that the rent has been received. A department checking occupation usually wants the tenant's declaration, supported by the landlord's no-objection. Where rent is paid to a parent or a spouse, expect the receiving body to look harder, and expect it to want the ownership proof and evidence of actual payment.
Drafting that stands up
- Describe the premises fully - tenement or flat number, building, society, road, area and pin code - in the same words as the ownership document.
- State the landlord's basis of ownership, and be able to produce the document.
- Give the exact period, with start and end dates. A declaration with no period is close to useless.
- State the rent, how it is paid, and whether a deposit is held.
- Where rent is paid in cash, say so. Do not describe cash payments in a way that implies bank transfers.
- Where the premises are used for business, say so - a residential declaration used for a business address is a mismatch the officer will catch.
What gets these rejected
- The period in the declaration overlapping or contradicting the rent agreement or the receipts.
- The rent stated not matching the bank credits or the receipts produced.
- Landlord's ownership proof missing, out of date, or in a different name - after an inheritance where the mutation was never made, for instance.
- Address written differently across the declaration, the utility bill and the agreement.
- Landlord deposing to a tenancy for a period before the landlord acquired the property.
- Used to support a claim for a period that is already closed, without explaining the delay.
Where a rent declaration is being sought to support a claim on money that was not in fact paid, we will not draft it. This is a sworn statement about payments, and a false one is discoverable from the bank record with very little effort. If the rent was paid in cash to a relative, say exactly that and keep the receipts - the truth, plainly stated, is defensible. An invented tenancy is not.
The notarial act
Section 8(1)(e) of the Notaries Act, 1952 covers administering the oath and taking the affidavit; section 8(2) requires the notary's signature and official seal. Rule 11(8) of the Notaries Rules, 1956 permits a notary to draw, attest and certify documents under the official seal, but that does not substitute for registration where registration is required.
Stamp duty as currently prescribed under the Gujarat Stamp Act, 1958 - the current figure is confirmed at the counter, and it differs between an affidavit and a rent agreement. The oath is capped at ₹35 under Rule 10(1) of the Notaries Rules, 1956.
What to bring
- The rent agreement or leave and licence, if one exists
- Landlord's ownership document, municipal tax receipt or index copy
- Rent receipts, or bank statements showing the payments
- Aadhaar and PAN of the landlord and of the tenant
- A recent electricity bill for the premises
- The employer's or department's requirement letter