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India-specificreal-estate

Rental Agreement Template for India

Free rental agreement template for Indian properties. Covers Rent Control Act provisions, 11-month lease structuring, TDS on rent, police verification, and stamp duty requirements.

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Rental Agreement for India


1. Parties and Property

This Rental Agreement is executed on [Date] at [City, State, India] between [Landlord Name], S/o or D/o [Parent Name], residing at [Address], holding PAN [PAN Number] and Aadhaar [Aadhaar Number] (hereinafter referred to as the "Landlord/Licensor"), AND [Tenant Name], S/o or D/o [Parent Name], residing at [Current Address], holding PAN [PAN Number] and Aadhaar [Aadhaar Number] (hereinafter referred to as the "Tenant/Licensee"). The Landlord agrees to let the premises at [Complete Address including flat number, floor, building name, locality, city, PIN code] to the Tenant on a leave and license basis.

2. Term and Renewal

This Agreement shall be for a period of eleven (11) months, commencing from [Start Date] and ending on [End Date]. This Agreement is structured as a leave and license arrangement under the applicable state laws. Upon expiry, the Agreement may be renewed by mutual written consent with revised terms. The Tenant shall vacate the premises upon expiry unless a renewal is agreed. This structure ensures the Agreement is governed by the Indian Easements Act and not the Rent Control Act.

3. Rent, Maintenance, and TDS

The monthly rent shall be INR [Amount] (Rupees [Amount in words] only), payable on or before the [5th] of each month via [bank transfer/UPI/cheque]. In addition, the Tenant shall pay maintenance charges of INR [Amount] per month directly to the housing society/association. If the annual rent exceeds INR 2,40,000, the Tenant shall deduct Tax at Source (TDS) at the rate of [10%] under Section 194-IB of the Income Tax Act, 1961, and deposit the same with the government. The rent may be increased by [5-10%] upon renewal.

4. Security Deposit

The Tenant shall pay a refundable security deposit of INR [Amount] (Rupees [Amount in words] only) upon execution of this Agreement. The deposit shall be interest-free and shall be refunded within [30] days of vacating the premises after deduction of: (a) unpaid rent or utility bills; (b) cost of repair for damages beyond normal wear and tear; (c) any other amounts due under this Agreement. The Landlord shall provide an itemized list of deductions. In most Indian cities, the standard deposit is 2-10 months' rent depending on local practice.

5. Tenant Obligations and Police Verification

The Tenant shall: (a) use the premises solely for residential purposes; (b) not sublet or assign without the Landlord's written consent; (c) complete police verification/tenant registration as required by local police within [15] days of moving in; (d) maintain the premises in good condition; (e) not make structural modifications without written consent; (f) allow the Landlord or their representative to inspect the premises with [24] hours' prior notice; (g) pay electricity, water, gas, internet, and other utility bills directly and on time.

6. Stamp Duty, Registration, and Governing Law

This Agreement shall be executed on appropriate stamp paper as required under the [State] Stamp Act. The stamp duty and registration charges shall be borne [equally by both parties / by the Tenant / by the Landlord]. Agreements exceeding 11 months may require compulsory registration under the Registration Act, 1908. This Agreement shall be governed by the laws of India and the applicable state tenancy laws. Courts at [City] shall have exclusive jurisdiction. This Agreement may be executed electronically in compliance with the Information Technology Act, 2000.

Signature — Party A

Signature — Party B

Tips for Using This Template

  • The 11-month structure avoids mandatory registration under the Registration Act and provides flexibility for both parties.
  • Police verification is mandatory in most Indian states - complete it within 15 days to avoid penalties.
  • Ensure TDS compliance if annual rent exceeds INR 2,40,000 - non-compliance attracts penalties under the Income Tax Act.
  • Take photographs of the premises before and after tenancy as evidence of condition for deposit disputes.

Frequently Asked Questions

Why are most Indian rental agreements for 11 months?
Under the Registration Act, 1908, lease agreements of 12 months or more must be compulsorily registered, which involves higher stamp duty and registration fees. An 11-month leave and license agreement avoids this requirement while remaining fully valid.
Is e-stamping valid for rental agreements in India?
Yes, e-stamping is valid and accepted in most Indian states. States like Maharashtra, Karnataka, Tamil Nadu, and Delhi support e-stamping through SHCIL (Stock Holding Corporation of India). ContractClaw Sign integrates with Indian e-stamping services.
What happens if the tenant refuses to vacate after the agreement expires?
As a leave and license agreement, the tenant is a licensee, not a tenant under Rent Control laws. The landlord can file for eviction under the Indian Easements Act. In practice, having a properly documented agreement with clear end dates strengthens the landlord's legal position.
How much stamp duty should I pay?
Stamp duty varies by state. For example: Maharashtra charges 0.25% of total rent + deposit; Karnataka charges 1% of annual rent; Delhi charges 2% of average annual rent. Check your state's current rates or use ContractClaw Sign's automatic stamp duty calculator.

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Disclaimer: This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction. Consult a qualified legal professional before using this document for any binding agreement. ContractClaw Sign is not a law firm and does not provide legal services.

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