Draft Registration Bill 2025: Ushering in a new era of Digital Property Registration in India

The Government of India has released the Draft Registration Bill, 2025 (“Bill”), aimed at replacing the colonial era Registration Act, 1908 (“Act”) with a comprehensive, technology-enabled framework suited to present-day realities.

For over a century, the Act has governed the registration of property and other legal documents. However, evolving socio-economic conditions and the increasing reliance on registered instruments in legal and commercial transactions have necessitated an overhaul.

The Bill, introduced by the Ministry of Rural Development through its Department of Land Resources, is designed to correct structural inefficiencies, promote digital governance, and bring about uniformity and transparency in document registration.

Digital Enablement

The Bill proposes a fully electronic registration ecosystem, encompassing online document submission, issuance of digital registration certificates, and digital archiving. These reforms aim to make records easily retrievable, verifiable, and shareable. Aadhaar-based authentication is permitted (with safeguards), while alternate mechanisms are also available to meet constitutional privacy standards.

Expanded Scope of Compulsory Registration

To address modern transactional complexity, the Bill significantly broadens the category of documents requiring compulsory registration. These include:

a. All agreements for sale of immovable property, including developer and promoter agreements;

b. Powers of attorney authorizing transactions involving immovable property;

c. Sale certificates issued by competent authorities;

d. Equitable mortgages; and

e. Court decrees, awards, and orders that affect rights or interests in immovable property.

Additionally, the Bill allows registration of documents not otherwise required to be registered, making optional registration more accessible and effective.

Special Provisions for Wills

The Bill simplifies the procedure for registering wills, enabling urgent and accessible execution, especially for the elderly. It introduces electronic registration of wills and continues the practice of permitting deposit of wills in sealed covers with the Registrar ensuring tamper-proof preservation and preventing misuse or destruction.

Procedural Integrity and Due Process

The Bill codifies clear grounds for refusal of registration, including:

a. Inadequate property description;

b. Unattested alterations;

c. Identity mismatches; and

d. Fee-related issues.

Designated authorities are empowered to cancel registrations obtained through fraud or in violation of the law, subject to procedural safeguards such as prior notice, a hearing, and written reasons for cancellation.

Institutional Reform

The administrative framework is strengthened by:

a. Vesting oversight powers in an Inspector General of Registration (IGR);

b. Mandating district-level Registrars and sub-district Sub-Registrars;

c. Providing for interim appointments to maintain continuity;

d. Deeming all registration officers to be public servants, enhancing accountability.

Accessibility and Interoperability

The Bill promotes inclusive access through plain-language drafting, user-friendly digital interfaces, and exemptions from personal appearance for persons with disabilities or legal constraints. It provides for:

a. Registration through agents or electronic means;

b. Interoperability with land and corporate registries, boosting due diligence and reducing duplicative paperwork;

c. Standardised templates for commonly used instruments to aid individuals and small businesses.

Grievance Redressal and Appeals

A two-tiered appellate mechanism is introduced wherein:

Aggrieved persons may appeal a sub-registrar’s refusal to register a document before the Registrar, who must decide within 30 (thirty) days.

If registration is refused at the Registrar level, the remedy lies in filing a civil suit in the appropriate court.

However, no further administrative appeals are provided under the Bill.

Rationalised Penalty Regime

The Bill introduces a proportionate penalty system, replacing the more punitive provisions of the Act. Key features include:

a. Reduced imprisonment (up to three years) for furnishing false documents; and

b. Introduction of monetary penalties and continuing fines for prolonged non-compliance.

Cost-Effective Framework

To reduce transaction costs:

a. Only the principal instrument in a multi-document transaction (e.g., sale deed) will attract the full registration fee;

b. Ancillary documents (e.g., agreements to sell or powers of attorney) will incur minimal or no fees; and

c. Refund of excess fees is also permitted to ensure fairness.

The Draft Registration Bill, 2025, heralds a transformative shift in India’s property registration landscape. It places a strong emphasis on digitalisation, procedural clarity, legal certainty, and institutional accountability, all of which are vital for enhancing investor confidence, reducing litigation, and improving ease of doing business.

By aligning document registration with modern technology and transactional needs, the Bill lays the groundwork for a transparent, efficient, and citizen-centric registration regime, positioning India for more robust land governance and commercial growth in the years ahead.

About the authors: Ketan Mukhija is a Senior Partner and Guneet Singh Chadha is a Partner at Burgeon Law.

Disclaimer: The opinions expressed in this article are those of the author(s). The opinions presented do not necessarily reflect the views of Bar & Bench.

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