Power of Attorney for NRI to Sell Property in India
If you are an NRI and you want to conduct a large financial transaction in India like selling a property, this could become a huge hassle if you have to travel to India and back all the time. There is a simple solution to this. By drawing up a Power of Attorney for NRI to sell property in India, you can get your transaction done without having to travel all the way to India. The Power of Attorney to sell property in India is not that complicated. We have gathered a handy guide for your ready reference, and this includes the NRI power of attorney format as well.
What Is A Power Of Attorney?
A Power of Attorney (POA) is a document that gives another person chosen by you, the power to undertake acts or deeds when you cannot physically be present. In essence, a Power of Attorney gives the designated person the power to execute deeds or sign certain contracts on your behalf. Exactly what this designated person can do is also specified in the document.
What Are The Different Kinds Of Power of Attorney?
General Power of Attorney
A general POA gives the designated person a larger scope of power to complete multiple transactions or deeds that is expected.
Special Power of Attorney
A special POA is narrower in scope. It specifies exactly what deeds or transactions the designated person can complete on your behalf.
NRI Power of Attorney to Sell Property in India
- A Power of attorney is a special choice for most sellers who have difficulties in attending to the execution and registration of sale deed.
- The reason for executing the POA should be clarified and the details about the incapacity should be mentioned in detail such as the person is residing abroad, or in another town, due to physical infirmity or old age
- A special POA for sale of a property is a compulsorily registrable document under the Indian registration act.
- The stamp duty is collected in the prescribed format and embossed on the paper while registering at the sub-registrar
- If the POA is created in abroad, it needs to be printed on a plain paper and taken to the appropriate Indian consulate in that particular country to get it attested by the authorities
- The attorney may then proceed with the creation of the agreement to sell and then subsequently the sale deed along with the registration of the same.
- The consideration or payment can be received on behalf of the principal and then be transferred to him/her after fulfilling tax responsibilities
NRI Power Of Attorney Format
If you want to draw a POA and send it to India, then it is best to go to your local Indian Consulate to get it attested. This is very important as the document will not be valid unless you attest it first. Here are the steps you should take to get your NRI POA attested at the Indian Consulate:
- An NRI POA sent from abroad doesn’t require an Indian stamp paper. So, you can use plain paper.
- In the plain paper, write down all the powers you wish to share with the designated person. Ideally, for large transactions of immovable property like land, your designated person should be a spouse or a blood relative like your parents or siblings. List out whatever you would like this person to do on your behalf.
- Before you sign the document, you must go to the Indian Consulate. Make sure that you have at least two copies of the POA.
- Two witness signatures would be required for the NRI POA to be valid. You can either take two witnesses with you when you go to the Consulate or get their signatures notarized beforehand. If the two witnesses are unable to come to the consulate, only then should you get it notarized. Otherwise, they must sign the POA in the presence of a consular official
The Correct POA Format To Ensure Validity Of Your POA
- Both the parties of the POA should be competent. Minors and others who are disqualified by law cannot hold or give a POA
- The POA is valid only for a legal act.
- The POA must be duly stamped, notarized within the specified time frame (usually within 3 months)
- A POA that is executed abroad must be attested by a Consulate Officer in your country of residence
Documents Required For Attestation Of POA At The Indian Consulate
We recommend that you call your local consulate in advance to confirm exactly which documents and how many copies of them you would need. This will ensure that you are prepared, and will save everyone involved a lot of time. However, here are the main documents that you will need to take with you when you go to get your POA attested.
- The POA itself, along with a few copies (at least 2)
- Your passport, along with a few copies. Make sure you include all the pages as well as the front and back pages
- Address proof in your country of residence
- Proof of your legal status in the country of residence like your Visa/ Green Card/others
- Passport Size Photographs
- ID Proof and copies of ID Proof for both your witnesses
- You may be asked to pay a fee at the time of attestation. Calling ahead will help you have the money ready
Tips And Precautions To Be Taken While Drawing A POA
- Make sure that you are drawing the POA only to someone you trust.
- Read through the entire document carefully to make sure that you understand exactly what powers you are giving the other person. Ensure that you understand it completely before putting your signature on it.
- Wherever possible, try to give only a Special Power of Attorney. This will specify exactly what the other person can do for you, and for what duration.
- Make sure that the designated person is willing to take this responsibility up. Also, ensure that they have the capability to execute whatever powers you have granted them
We hope this guide has helped you to draw up your Power of Attorney to sell property in India. As you can see, the procedure for drawing up a Power of Attorney for NRI to sell property in India is simple and user-friendly. We hope the NRI power of attorney format also has been of use to you.