Quiz 2: Final Assessment — Sale Deeds and Property Conveyance

Question 1 of 10

Stamp duty on a sale deed is calculated on:

AThe consideration stated in the sale deed only BThe higher of actual consideration or the state's reference value CThe property tax assessed value DA flat rate irrespective of value

Question 2 of 10

Under Section 194-IA, a buyer must deduct TDS at 1% when the consideration exceeds:

ARs. 10 lakh BRs. 25 lakh CRs. 50 lakh DRs. 1 crore

Question 3 of 10

A sale deed must be presented for registration within what period from execution?

A30 days B2 months C4 months D1 year

Question 4 of 10

After Suraj Lamp, immovable property can be transferred through:

AA general power of attorney sold to the transferee BAn agreement to sell coupled with a power of attorney CA registered sale deed under the Transfer of Property Act DA notarised affidavit of transfer

Question 5 of 10

A buyer discovers six months post-purchase that a portion of the property is subject to a decree of specific performance in favour of a third party who was in a prior agreement with the seller. Most important remedy?

ARescind and demand full refund BSue the seller for damages for breach of the covenant of good title; challenge the third party's claim if not registered before the sale; seek indemnity if included CAccept the loss as diligence failure DFile a criminal complaint

Question 6 of 10

A property has a lis pendens registered. A buyer purchases anyway. Effect?

AThe purchase is void BThe buyer takes subject to the outcome of the pending litigation; if the plaintiff succeeds, the buyer's title is affected CThe buyer is protected because the buyer paid consideration DThe lis pendens expires after 3 years

Question 7 of 10

An agricultural land parcel is being sold to a buyer who lacks the required agricultural qualification under the state's land laws. Likely position?

AValid because the buyer has money to pay BMay be void or void ab initio under state land ceiling and holding laws, which restrict who can purchase agricultural land CValid but subject to a special premium DState must register any sale presented

Question 8 of 10

A sale deed is executed but not registered within 4 months due to seller's default. Buyer's position?

AThe buyer has ownership because the deed was executed BMust seek an extension of time for registration, and if delayed further, may need to pursue specific performance to compel the seller's cooperation CMust accept the loss DThe deed automatically becomes registered after 6 months

Question 9 of 10

A buyer completes purchase of a flat in a cooperative housing society without obtaining society NOC. Issue?

ANo issue — NOCs are procedural BThe society may refuse to transfer the share certificate; the buyer cannot access facilities, common areas, or the AGM as a member; the seller technically retains membership rights CThe sale is void DThe society can cancel the sale deed

Question 10 of 10

A seller understates consideration to reduce stamp duty. Which is NOT a consequence for the buyer?

AThe buyer's cost of acquisition for capital gains purposes is understated BMay face scrutiny under Section 50C for the difference between actual consideration and ready reckoner value CThe buyer inherits an inflated stamp duty liability upon re-sale DMay face difficulty obtaining a bank loan against the property

Quiz 2 — Final Assessment