Transfer of Property Act at Russia
In Russia, the legal framework governing the transfer of property is not based on a law specifically called the "Transfer of Property Act" as in India. Instead, property transfers in Russia are regulated under several laws and regulations that provide a comprehensive structure for property rights, contracts, and transactions.
Here are the primary laws and regulations governing the transfer of property in Russia:
1. The Civil Code of the Russian Federation
Part 2 (Property Rights): The Civil Code of Russia is the primary legal document that governs property transactions, including ownership, transfer of property, and contracts related to real estate and movable property.
It outlines how property is transferred, including the essential requirement for a valid transaction to be made through a formal agreement (such as a sale or donation contract).
It also governs the process of registering the transfer with the state.
2. Federal Law on State Registration of Real Estate Transactions
This law stipulates that all real estate transactions, such as sales, purchases, and transfers of ownership, must be registered with the Federal Service for State Registration, Cadastre, and Cartography (Rosreestr).
Registration of real estate transactions is essential to legally formalize ownership, making it public and valid against third parties.
3. Real Estate Registration and Cadastre
Rosreestr (Federal Service for State Registration, Cadastre, and Cartography) is the government agency that maintains the state registry of real estate properties in Russia.
The transfer of property rights is legally recognized once it is registered with this agency.
4. Notarization of Property Transactions
Certain types of property transactions, especially real estate deals (sales, mortgages, donations), must be notarized to ensure their legality.
Notarization ensures that both parties to the transaction are informed about the legal implications of the transfer and are voluntarily entering into the agreement.
5. Taxation on Property Transfers
Taxes: Transfer of property may involve certain taxes like VAT (if applicable), and capital gains tax on the sale of property.
The tax system in Russia includes the State Duty for registration, and in some cases, transaction-related taxes must be paid by the seller or buyer.
Process of Property Transfer in Russia:
Agreement: Both parties (seller and buyer) sign an agreement to transfer the property (e.g., a sale or donation agreement).
Notarization: Depending on the property type, notarization may be required.
State Registration: The transaction is submitted to Rosreestr for registration.
Payment of Fees: Necessary taxes and registration fees are paid.
Transfer of Title: Once registered, the new owner receives the legal title to the property.
RELATED Blog
0 comments