What is the Difference Between Affidavit and Allocation
AFFIDAVIT
DHA and Landlords have an agreement when the Landlord gives his/her Land to the DHA to be used for any needed phase.
DHA issues a stamp paper to the Landlord of a particular land. This paper is known as an affidavit. Later, the landowner can sell it in the market and submit it in DHA for Intimation Letter
- According to Law, there is no Stamp Duty/CVT or withholding tax applicable on it since the Purchaser is the First Allottee
- DHA only take transfer Fee for the transfer procedure. For the Residential File, it is 10K and for the Commercial File, it is 20K.
- In this transfer procedure Physical presence of the Purchaser not necessary.
- This Procedure takes 2 to 7 working days.
- After the Intimation Letter ready, the Landlord collects the Intimation Letter from DHA. And handover to the purchaser after taking his decided price.
ALLOCATION
An affidavit is a secure file but it cannot enter in DHA balloting as per DHA by Laws. And purchaser/ Current Owner of the file has to pay the Membership fee and submitted the original Intimation letter (affidavit) along with the Membership fee and form in DHA office. DHA Issue the current owner a receipt of collecting Allocation Letter which he may collect after 15 days working days.
That Letter Called Allocation Letter. This can enter in DHA ballot.
- If a current owner of Allocation file wants to sell this Allocation file. Now the presence of next purchaser is
Compulsory in DHA or on behalf of purchaser a nominee can pay all Government and DHA Fee.
- Only in the case of Purchaser abroad a nominee can present in DHA.
- After the arrival of the purchaser he presents it in DHA office and signed all transfer papers. And then can collect the Allocation letter which is now his name
Note: Both Affidavits and Allocations are issued by the DHA and are equally secure as the issuing authority is the Defence Housing Authority.