August 27, 2011
Maruti Swift relaunched at a starting price of Rs 4.22 lakh
Agencies Aug 17, 2011, 01.30pm IST
NEW DELHI: The country's largest car-maker Maruti Suzuki Indiaon Wednesday launched the new version of its premium hatchback 'Swift' at an introductory price ranging from Rs 4.22 lakh to Rs 6.38 lakh.
The new Swift
Built on an all-new platform, the company and its suppliers have invested over Rs 500 crore on the new car.
"We have launched the new Swift at a time when there was a significant demand for the outgoing model. I am confident that the new Swift will create new benchmarks with its improved fuel efficiency, stylish and sportier looks and high performance," Maruti Suzuki India Managing Director and CEO Shinzo Nakanishi told reporters here.
Launched six years back, the Swift has been a runaway success for the company, with over six lakh units sold so far. MSI is hoping that the new version will further strengthen its position.
The company is likely to launch the DZiRE on the new Swift's platform in the next 6-8 months.The new Swift retains the round look; however elements like the headlights and tail lights have a stretched look.
The only department where the difference isn't drastic between the older model and the new Swift lies under the hood. The engines from the outgoing Swift have been carried over to the new car, essentially the K-Series 1.2-litre petrol and the 1.3-litre DDiS diesel engines.
The 1197cc petrol engine generates 87PS @ 6000rpm and a torque of 114Nm at 4000rpm whereas the 1248cc DDiS diesel engine remains the same and offers 75PS @ 4000rpm and a torque of 190Nm @ 2000rpm.
Both versions are mated to 5-speed gearboxes that are different from the outgoing version's transmission. The new Swift boasts of ABS, dual SRS airbags, braking with a Boost Assist System (BAS) and increased torsional rigidity.
Maruti Suzuki launched the Swift in 2005. Despite being more than six years old, the model has consistently maintained its waiting list period of three-four months. The DZiRE on the other hand commands a 4-5 month wait. Maruti sells about 12,000 units of the Swift and 10,000 units of stablemate DZiRE every month. The third generation Suzuki Swift was formally unveiled in Hungary last year.
By: ET ZigwheelsThe new Swift
The new Swift is an attempt at both product and brand refurbishment with a strong focus on keeping the original 'swift genes' intact. Making the best better is a tremendous undertaking for any company, even MSIL, and the task is more difficult when you have to deal with a cult brand such as the Swift. Zigwheels gets under the sheet metal to see if MSIL has managed to successfully carry out the intended task.
Probably the first questions running through your head when you see images of the 'all-new Swift' are going to be "What's different?", "What's changed?" A similar set of questions went through my mind as well. However the changes become apparent when you see the car in the flesh.
Probably the first questions running through your head when you see images of the 'all-new Swift' are going to be "What's different?", "What's changed?" A similar set of questions went through my mind as well. However the changes become apparent when you see the car in the flesh.
Yes, there is no doubting the fact that it retains the same silhouette and overall shape, but what needs to be understood is that this new car is an evolution in design of a cult brand. Enough has been changed to make it a new car, yet signature traits have been incorporated to ensure that the link to its predecessor remains intact.
What's new about it?
Despite an increase in size, the new Swift is 30 kilogrammes (petrol version) lighter than its predecessor and the diesel manages to be 15 kilogrammes lighter. With such an engaging drive it's comforting to know that MSIL has also enhanced the safety features on the car. The new Swift boasts of ABS, dual SRS airbags, braking with a Boost Assist System (BAS) and increased torsional rigidity, making it a rather safe hatch to be in.
Another way to look at this is to just think about all the elements of the Swift you liked, and I assure you will find them in this car as well. Now think of all the elements you would like to enhance and you will find that most of these major elements have also been incorporated. Built on an all-new platform, the new Swift is longer than its predecessor by 50mm and the result is a visible size difference that actually makes the car look more complete than the outgoing model.
The new Swift retains the quintessential round look; however elements like the headlights and tail lights boast of a stretched look, the wheel arches are more pronounced, the shoulder line as well as the rear have more of a curve to them and all of these elements come together to give the car a sportier, more crisp look that is undoubtedly going to be an immediate hit with Swift fans. Completing the exterior package are the large 185/65 R15 tyres with alloys on the high end versions.
The new Swift retains the quintessential round look; however elements like the headlights and tail lights boast of a stretched look, the wheel arches are more pronounced, the shoulder line as well as the rear have more of a curve to them and all of these elements come together to give the car a sportier, more crisp look that is undoubtedly going to be an immediate hit with Swift fans. Completing the exterior package are the large 185/65 R15 tyres with alloys on the high end versions.
The car's interiors
The interiors have received a higher level of treatment than the exteriors and you will be hard pressed to find any similarities between latest model and its predecessor. The first thing that strikes you about the interiors is the amount of space. Thanks to the increase in length, the new Swift is now at par with its direct competition when it comes to interior space.
The quality of the materials used has also improved radically and you can't find any of that cheap quality plastic around, which is possibly the best thing that MSIL could have done with this new car. Further to this, the new Swift boasts of a fresh contoured dashboard and central console.
The inspiration is definitely from the larger Kizashi and has been executed to give the entire cabin a more up market feel. Probably the only department where the difference isn't drastic between the older model and the new Swift lies under the hood. The engines from the outgoing Swift have been carried over to the new car, so you essentially have the K-Series 1.2-litre petrol and the 1.3-litre DDiS diesel mills to choose from.
The quality of the materials used has also improved radically and you can't find any of that cheap quality plastic around, which is possibly the best thing that MSIL could have done with this new car. Further to this, the new Swift boasts of a fresh contoured dashboard and central console.
The inspiration is definitely from the larger Kizashi and has been executed to give the entire cabin a more up market feel. Probably the only department where the difference isn't drastic between the older model and the new Swift lies under the hood. The engines from the outgoing Swift have been carried over to the new car, so you essentially have the K-Series 1.2-litre petrol and the 1.3-litre DDiS diesel mills to choose from.
Fuel efficient
Now, I did say that there is a small change in this department and that is the inclusion of a Variable Valve Timing system which helps the engine breathe better, offer optimum performance, enhance fuel efficiency and lower carbon emissions. The 1197cc petrol engine now generates 87PS @ 6000rpm and a decent torque of 114Nm at 4000rpm.
The earlier K-Series made 82PS so there is a slight increase in power that translates to a smoother drive. The 1248cc DDiS diesel mill remains the same and offers a stellar 75PS @ 4000rpm and a more than decent torque of 190Nm @ 2000rpm. Both versions are mated to 5-speed gearboxes that incidentally are different from the outgoing version's transmission and these new boxes offer smoother gear transitions.
The earlier K-Series made 82PS so there is a slight increase in power that translates to a smoother drive. The 1248cc DDiS diesel mill remains the same and offers a stellar 75PS @ 4000rpm and a more than decent torque of 190Nm @ 2000rpm. Both versions are mated to 5-speed gearboxes that incidentally are different from the outgoing version's transmission and these new boxes offer smoother gear transitions.
Drive Dynamics
Another aspect that hasn't changed, and for a good reason too, is the drive dynamics. Push the car around a tight corner and she holds her line extremely well. No doubt the larger tyres have a role to play here, but there is more to the story than meets the eye.
Takes the experience to a new level
Overall the new Swift takes the evolution of the Swift brand to a new level. Everything about the car is more crisp and essentially you get a feeling of being offered a lot more car than before and that is a boon considering the changing market dynamics. In 2005 when MSIL rolled out the Swift it set a benchmark for the premium hatchback segment. Now with competition having grown so much, the Swift was definitely getting old in the tooth, but it possessed immense brand value and had a strong fan following.
The new Swift retains those values yet manages to take the game more than just a notch higher. From the looks of it, the new Swift is here to reset the benchmark and the competition might as well start planning their arsenal. With the ability to rule the roost, the only factor that will seal the new Swift's fate as kingpin of the premium hatchback segment is its pricing. Maruti has been known to price its small cars extremely aggressively and we hope to see that with this car as well.
The new Swift retains those values yet manages to take the game more than just a notch higher. From the looks of it, the new Swift is here to reset the benchmark and the competition might as well start planning their arsenal. With the ability to rule the roost, the only factor that will seal the new Swift's fate as kingpin of the premium hatchback segment is its pricing. Maruti has been known to price its small cars extremely aggressively and we hope to see that with this car as well.
Specifications
SWIFT 1.3 DIESEL
Engine: 1248cc, 4-cylinder , turbocharged diesel
Power: 75PS @ 4000rpm
Torque: 190Nm @ 2000rpm
Kerb weight: 1060kg (approx)
Fuel efficiency (claimed): 22.9kmpl
SWIFT 1.2 VVT PETROL
Engine: 1197cc, 4-cylinder , Variable Valve Timing, petrol
Power: 87PS @ 6000rpm
Torque: 114Nm @ 4000rpm
Kerb weight: 990kg (approx)
Fuel efficiency (claimed): 18.6kmpl
Engine: 1248cc, 4-cylinder , turbocharged diesel
Power: 75PS @ 4000rpm
Torque: 190Nm @ 2000rpm
Kerb weight: 1060kg (approx)
Fuel efficiency (claimed): 22.9kmpl
SWIFT 1.2 VVT PETROL
Engine: 1197cc, 4-cylinder , Variable Valve Timing, petrol
Power: 87PS @ 6000rpm
Torque: 114Nm @ 4000rpm
Kerb weight: 990kg (approx)
Fuel efficiency (claimed): 18.6kmpl
Images: www.zigwheels.com
NRI's guide to selling property in India
Aug 24, 2011
Last time , we saw the basic rules and regulations with respect to NRIs buying property in India. This time around, we take a look at what happens when you sell property in India. We will only look at properties purchased by a person either before or after he becomes an NRI. The rules regarding sale of properties acquired as gift or inheritance, will be covered in the next column.
Can an NRI sell property in India?
Yes, an NRI can sell residential or commercial property in India. He can sell to:
- A person resident in India (the definition of resident in this case will be as per FEMA)
- An NRI
- A Person of Indian Origin (PIO)
However, an NRI can sell agricultural or plantation land or a farm house only to a person who is resident in India and a citizen.
In which account must the sales proceeds be credited?
There are two scenarios that may arise here:
1. Sale of property purchased as a resident Indian
The sale proceeds in such cases would have to be credited in the Non Resident Ordinary (NRO) Account.
2. Sale of property purchased as a non-resident Indian
If the property was purchased out of rupee resources, that is, income earned in rupees, or the home loan is repaid by a relative who is a resident of India, the amount must be credited in the NRO account.
In all other cases, there are limits to repatriation that are discussed in the next question.
What are the rules for repatriation of sale proceeds of property sold in India?
If the property was purchased while you were a resident of India, then the sale proceeds must be credited to the NRO account. You can repatriate up to USD 1 million per calendar year from your NRO Account (including all other capital transactions), provided you have paid all taxes due.
Now, if the property was purchased while you were a non-resident, you can repatriate the proceeds outside India provided that you fulfill certain conditions:
1. You should have purchased the property in accordance with the foreign exchange laws prevalent at the time you bought the property
2. The amount to be repatriated will follow these limits:
a. If you purchased by remitting foreign exchange to India through normal banking channels, then the repatriation cannot exceed the amount that you remitted.
b. If you purchased using funds in the Foreign Currency Non Resident (FCNR) Account, then the repatriation cannot exceed the amount paid through this account.
c. If you purchased using funds lying in your Non Resident External (NRE) Account, then the repatriation cannot exceed the foreign exchange equivalent, as on date of purchase, of the amount paid through NRE Account.
d. If you purchased a property by taking a home loan, then repatriation cannot exceed the amount of loan repayment that has been done using foreign inward remittances or debit to NRE/FCNR Accounts.
e. If you purchased the property using balance in your NRO account, then the sale proceeds must be credited to your NRO account and you can repatriate to the extent of USD 1 million (including all other capital account transactions).
In all these cases, the balance sale proceeds can be credited to the NRO account and you will be able to repatriate up to USD 1 million per calendar year (including all other capital account transactions).
Vikas Vasal, Executive Director of KPMG India explains, "This limit of USD 1 million is the limit upto which you can repatriate without any permission from RBI. If you have a genuine need to repatriate above this limit, you can make a specific application to RBI for increasing the repatriation limit."
In all cases, repatriation is restricted to sale of two residential properties.
What is the capital gains tax applicable on sale of properties in India?
Before we move on to this explanation, it is important to understand that for all income tax purposes, the definition of NRI would be the one prescribed in the Income Tax Act. For all repatriation purposes, the definition of NRI would be one under FEMA. While in most cases, a person who qualifies under one would qualify under the other, it is better to review both definitions.
If you sell the property after 3 years from the date of purchase, you will be liable for long term capital gains tax of 20 per cent. The gains are calculated as the difference between sale value and indexed cost of purchase. Indexed cost of purchase is nothing by the cost of purchase adjusted to inflation. You can find the index here .
As an NRI, you will be subject to a TDS of 20 per cent on the capital gains.
If you sell the property within 3 years of purchase, you will be liable for short term capital gains tax at your respective tax slab. Short term capital gain is calculated as the difference between the sale value and the cost of purchase (no indexation benefit is available). You will be subject to a TDS of 30 per cent irrespective of your tax slab.
Now, the question arises as to who will deduct the tax at source. If the property is sold to an individual, does the individual need to deduct tax at source and deposit the same with the Government? Will the individual then issue a TDS certificate to the NRI?
Sandeep Shanbhag, Director of Wonderland Investments explains, "Yes, the payer of the sale proceeds, even if he is an individual will be responsible for deducting tax at source and paying it to the Government. He must get a Tax Deduction Account number (TAN) and issue a TDS certificate for the same."
What if the individual does not go through this process and fails to deduct tax? "The onus of deducting tax is on the payer. So in case the individual does not deduct tax and the NRI too fails to declare the income and pay the tax, the income tax authorities can hold the payer responsible," Shanbhag says.
Can an NRI avail of any capital gain tax exemptions?
Section 54
According to section 54 of the Income Tax Act, if you sell a residential property (after 3 years from date of purchase) and reinvest the proceeds into another residential property (within 2 years from date of sale), your gains will be exempt to the extent of the cost of new property. Suppose your capital gains is Rs 30 lakh and the new property is for Rs 20 lakh, then Rs 5 lakh will be treated as long term capital gains.
The residential property that you sell may either be a self-occupied property or one that was given on rent. Further, the new property must be held for at least 3 years.
Now an important question that NRIs have: Can you invest the proceeds in a foreign property and still avail the benefit of section 54? Vikas Vasal, Executive Director of KPMG India says, "Section 54 does not specify that the property must necessarily in India. So yes, a beneficial view can be taken."
Section 54EC
According to section 54EC of the Income Tax Act, if you sell a long term asset, in this case, the residential property (after 3 years from date of purchase) and invest the amount of capital gains in bonds of NHAI and REC, within six months of date of sale, you will be exempt from paying capital gains tax. Your bonds will remain locked in for a period of 3 years.
Can an NRI sell property in India?
Yes, an NRI can sell residential or commercial property in India. He can sell to:
- A person resident in India (the definition of resident in this case will be as per FEMA)
- An NRI
- A Person of Indian Origin (PIO)
However, an NRI can sell agricultural or plantation land or a farm house only to a person who is resident in India and a citizen.
In which account must the sales proceeds be credited?
There are two scenarios that may arise here:
1. Sale of property purchased as a resident Indian
The sale proceeds in such cases would have to be credited in the Non Resident Ordinary (NRO) Account.
2. Sale of property purchased as a non-resident Indian
If the property was purchased out of rupee resources, that is, income earned in rupees, or the home loan is repaid by a relative who is a resident of India, the amount must be credited in the NRO account.
In all other cases, there are limits to repatriation that are discussed in the next question.
What are the rules for repatriation of sale proceeds of property sold in India?
If the property was purchased while you were a resident of India, then the sale proceeds must be credited to the NRO account. You can repatriate up to USD 1 million per calendar year from your NRO Account (including all other capital transactions), provided you have paid all taxes due.
Now, if the property was purchased while you were a non-resident, you can repatriate the proceeds outside India provided that you fulfill certain conditions:
1. You should have purchased the property in accordance with the foreign exchange laws prevalent at the time you bought the property
2. The amount to be repatriated will follow these limits:
a. If you purchased by remitting foreign exchange to India through normal banking channels, then the repatriation cannot exceed the amount that you remitted.
b. If you purchased using funds in the Foreign Currency Non Resident (FCNR) Account, then the repatriation cannot exceed the amount paid through this account.
c. If you purchased using funds lying in your Non Resident External (NRE) Account, then the repatriation cannot exceed the foreign exchange equivalent, as on date of purchase, of the amount paid through NRE Account.
d. If you purchased a property by taking a home loan, then repatriation cannot exceed the amount of loan repayment that has been done using foreign inward remittances or debit to NRE/FCNR Accounts.
e. If you purchased the property using balance in your NRO account, then the sale proceeds must be credited to your NRO account and you can repatriate to the extent of USD 1 million (including all other capital account transactions).
In all these cases, the balance sale proceeds can be credited to the NRO account and you will be able to repatriate up to USD 1 million per calendar year (including all other capital account transactions).
Vikas Vasal, Executive Director of KPMG India explains, "This limit of USD 1 million is the limit upto which you can repatriate without any permission from RBI. If you have a genuine need to repatriate above this limit, you can make a specific application to RBI for increasing the repatriation limit."
In all cases, repatriation is restricted to sale of two residential properties.
What is the capital gains tax applicable on sale of properties in India?
Before we move on to this explanation, it is important to understand that for all income tax purposes, the definition of NRI would be the one prescribed in the Income Tax Act. For all repatriation purposes, the definition of NRI would be one under FEMA. While in most cases, a person who qualifies under one would qualify under the other, it is better to review both definitions.
If you sell the property after 3 years from the date of purchase, you will be liable for long term capital gains tax of 20 per cent. The gains are calculated as the difference between sale value and indexed cost of purchase. Indexed cost of purchase is nothing by the cost of purchase adjusted to inflation. You can find the index here .
As an NRI, you will be subject to a TDS of 20 per cent on the capital gains.
If you sell the property within 3 years of purchase, you will be liable for short term capital gains tax at your respective tax slab. Short term capital gain is calculated as the difference between the sale value and the cost of purchase (no indexation benefit is available). You will be subject to a TDS of 30 per cent irrespective of your tax slab.
Now, the question arises as to who will deduct the tax at source. If the property is sold to an individual, does the individual need to deduct tax at source and deposit the same with the Government? Will the individual then issue a TDS certificate to the NRI?
Sandeep Shanbhag, Director of Wonderland Investments explains, "Yes, the payer of the sale proceeds, even if he is an individual will be responsible for deducting tax at source and paying it to the Government. He must get a Tax Deduction Account number (TAN) and issue a TDS certificate for the same."
What if the individual does not go through this process and fails to deduct tax? "The onus of deducting tax is on the payer. So in case the individual does not deduct tax and the NRI too fails to declare the income and pay the tax, the income tax authorities can hold the payer responsible," Shanbhag says.
Can an NRI avail of any capital gain tax exemptions?
Section 54
According to section 54 of the Income Tax Act, if you sell a residential property (after 3 years from date of purchase) and reinvest the proceeds into another residential property (within 2 years from date of sale), your gains will be exempt to the extent of the cost of new property. Suppose your capital gains is Rs 30 lakh and the new property is for Rs 20 lakh, then Rs 5 lakh will be treated as long term capital gains.
The residential property that you sell may either be a self-occupied property or one that was given on rent. Further, the new property must be held for at least 3 years.
Now an important question that NRIs have: Can you invest the proceeds in a foreign property and still avail the benefit of section 54? Vikas Vasal, Executive Director of KPMG India says, "Section 54 does not specify that the property must necessarily in India. So yes, a beneficial view can be taken."
Section 54EC
According to section 54EC of the Income Tax Act, if you sell a long term asset, in this case, the residential property (after 3 years from date of purchase) and invest the amount of capital gains in bonds of NHAI and REC, within six months of date of sale, you will be exempt from paying capital gains tax. Your bonds will remain locked in for a period of 3 years.
How NRIs can buy property in India
Buying a property undeniably ranks as one of the greatest Indian dreams. So it does not matter which part of the world you live in; a home in India is simply a must. And the Indian laws, over the years, have made this a fairly easy job. The Reserve Bank of India governs such transactions and they fall under the purview of the Foreign Exchange Management Act (FEMA).
In this column, we give you a lowdown on all that you need to know if you are an NRI wanting to buy a property in India. To begin with, we need to understand the definition of non-resident Indian. Since property purchases are governed by FEMA, we need to go by the definition of NRI as stated in FEMA. According to FEMA, an NRI is a citizen of India who is resident outside India.
Now let us understand the rules and implications:
Can an NRI buy property in India?
Yes, a non-resident Indian can buy either a residential property or a commercial property in India. Further, there is no limit on the number of residential or commercial properties that an NRI can purchase in India.
Exception: An NRI however cannot buy agricultural land, plantation land or a farm house in India. He cannot even acquire such property as a gift.
There is however, no bar on inheriting such property.
Do you need RBI permission?
No. RBI permission is not required to buy residential or commercial property.
How to fund the purchase?
Payment for the purchase of property can be made either by way of funds remitted to India from abroad through regular banking channels or through the balance in the NRE, NRO or FCNR Account.
What income taxes are applicable on house properties in India?
According to the Indian Income Tax Act, if a person (resident or NRI) owns more than one house property, only one of them will be deemed as self-occupied. There will be no income tax on a self-occupied property. The other one, whether you rent it out or not, will be deemed to be given on rent. If you have not given the second property on rent, you will have to calculate deemed rental income on the second property (based on certain valuations prescribed by the income tax rules) and pay the tax thereof.
Now, the Income Tax Act does not specify if either or both these properties must be situated only in India. Vikas Vasal, Executive Director of KPMG India explains, "At the time of drafting the Income Tax Act, one did not envisage a situation where an Indian would own properties overseas. But now, more and more Indians are settling abroad. So from the reading of the Act, the rule of 'more than one property' will apply to global properties."
What this means is that if you are an NRI and own only one property globally and that property is in India, you would not have to pay any income tax on it in India.
However, let us say you are an NRI resident in USA. You own and live in a house in USA. You also own a house property in India. Even if you do not give the property in India on rent, you would have to pay income tax on deemed rent in India. The deemed rent is determined by certain valuation rules prescribed in the Income Tax Act.
Remember that even if you have inherited a property in India and that is not your only property, you would have to pay tax on deemed income.
Is deemed income from house property taxed in foreign country?
You would need to look at the tax code in your country of residence. In the case of NRIs in the United States, the US tax code does not tax deemed income. However, Ganga Mukkavilli, a New York City based CPA whose firm, CPAs, Taxes & Associates PC, specialises in international accounting, taxes and small businesses says that you would still have to show the property if it is an investment property in your tax return in the US (even though you do not have any rental income ).
"If you do not show this investment property, the problem will arise at the time of sale of property. Suppose you sell a property on which you had no rental income for US tax purposes but had deemed income as per India Tax code, then the amount spent on the maintenance, repairs and renovations and depreciation on this property which may be eligible for deduction or addition to your cost basis while calculating capital gains would become difficult to establish. However, if you have not declared the property in your tax returns, the US tax code may challenge the cost basis (purchase + improvements + suspended losses)to claim a tax deduction at the time of sale," he explains.
"Of course, any investment properties with rental income and related expenses must be reported on Form Schedule E in the US tax returns and rental activities by nature are always treated as 'passive' investments with restrictions on deductibility of the net rental losses. Always consult a tax expert as passive activity rules are quite cumbersome," he adds.
Home loans, an option?
Most definitely. The RBI allows NRIs to take home loans for buying property in India. You can also take a loan for repairs and renovations of your home.
You can pay the EMIs in any one of the following ways:
i. By remitting the money from your foreign bank account through regular banking channels
ii. By issuing post dated cheques or Electronic Clearance Service (ECS) from your NRE, NRO or FCNR Account
iii. Out of the rental income that this property earns
iv. Cheques issued from your local relative's bank account
What tax benefits are available on home loans repayments?
Under section 24 of the Income Tax Act, the interest on home loan is deductible from the income from house property to the extent of Rs 1.5 lakh per annum. Further, up to Rs 1 lakh of principle repayment can be deducted under section 80C (subject to an overall limit of Rs 1 lakh of that section).
This interest can be deducted from rental income. In case of self-occupied property discussed earlier, your rental income will be zero but you can still claim a deduction of interest of up to Rs 1.5 lakh. In such a case, you would have a loss from house property.
The loss can be set off against income from other sources like interest income, capital gains etc. If the loss is not completely exhausted in a particular year, it can be carried forward for 8 years. That is, you can show the loss in your tax returns for the next 8 years and off-set it against other income. But once carried forward, the loss can be set off only against income from house property.
Can an NRI give power of attorney for property purchase transactions?
Yes, in fact experts recommend that you give a PoA to a person resident in India so that he or she may complete formalities such as registration, possession, execution of agreement of sale etc. A PoA can be given to execute all contracts, deeds, mortgages, lease, sell and all matters relating to managing the property. However, at any given time, it would be better to give a specific power of attorney to any person, restricted only to a single action such as only purchase or only for lease. The power of attorney should be executed on a stamp paper or as per the requirement of the country where the PoA is executed. You must then get the PoA attested by any authorized official of the Indian Embassy/Consulate/Trade commissioner in that country.
Many times, when NRIs purchase properties, developers demand a PoA in their favour. You may choose not to give this PoA but it would lead to delays since all documents would have to be mailed to your foreign address. Giving a specific PoA would be a better option.
Having purchased a property, you will face several other challenges with respect to renting, managing or selling your property. We will explore all these in the next few columns.Obama declares emergency in four States
Aug 27, 2011
WASHINGTON: President Barack Obama today declared emergency in three States of New York,Virginia and Massachusetts which empowered federal agencies to take all steps required to protect people and properties, as hurricane Irene with a sustained wind speed of 100 miles per hour gushed toward the eastern shores of the United States.
While Obama declared emergency in New Yorkearly in the day, the US President signed off on the emergency declaration for the States of Virginia and Massachusetts around midnight soon after he arrived at the White House, a day early from his summer vacation.
Emergency in North Carolina was declared earlier. Obama's action authorizes the Department of Homeland Security, Federal Emergency Management Agency, to coordinate all disaster relief efforts which have the purpose of alleviating the hardship and suffering caused by the emergency on the local population, and to provide appropriate assistance for required emergency measures, to save lives and to protect property and public health and safety, and to lessen or avert the threat of a catastrophe in these three States.
Governors of Florida, North Carolina, Virginia, Maryland, Delaware, New Jersey, Connecticut, and New York have already declared states of emergency as hurricane Irene nears land.
Federal storm-surge maps showed the potential for four-to 10-foot surges across a massive swath of the eastern United States, with potentially disastrous impacts in eastern North Carolina, the Tidewater area of Virginia, as well as the Potomac River that runs through Washington.
"Hurricane Irene lashed coastal North Carolina late Friday and had metropolitan New York in its sights, staying on an unusual track that could bring deadly storm surge, heavy rainfall and misery to millions," CNN reported from North Carolina.
It is expected to hit Virginia, Maryland and Washington on Saturday night.
Meanwhile, tens and thousands of people across the east coast were evacuated from the low-lying areas.
"The storm was on a track that experts have feared for decades as they watched the rapid expansion of coastal resorts and housing developments in the lowlands behind them. They have worried that a storm tracking along the shore line, renewing its force over the warm Atlantic and then ripping with each rotation like a circular saw into coastal areas, could produce unprecedented devastation," The Washington Post said.
"It looks like the track of Irene is going to have a major impact along the East Coast starting in the Carolinas all the way up through Maine," said Craig Fugate, director of the Federal Emergency Management Agency.
WASHINGTON: President Barack Obama today declared emergency in three States of New York,Virginia and Massachusetts which empowered federal agencies to take all steps required to protect people and properties, as hurricane Irene with a sustained wind speed of 100 miles per hour gushed toward the eastern shores of the United States.
While Obama declared emergency in New Yorkearly in the day, the US President signed off on the emergency declaration for the States of Virginia and Massachusetts around midnight soon after he arrived at the White House, a day early from his summer vacation.
Emergency in North Carolina was declared earlier. Obama's action authorizes the Department of Homeland Security, Federal Emergency Management Agency, to coordinate all disaster relief efforts which have the purpose of alleviating the hardship and suffering caused by the emergency on the local population, and to provide appropriate assistance for required emergency measures, to save lives and to protect property and public health and safety, and to lessen or avert the threat of a catastrophe in these three States.
Governors of Florida, North Carolina, Virginia, Maryland, Delaware, New Jersey, Connecticut, and New York have already declared states of emergency as hurricane Irene nears land.
Federal storm-surge maps showed the potential for four-to 10-foot surges across a massive swath of the eastern United States, with potentially disastrous impacts in eastern North Carolina, the Tidewater area of Virginia, as well as the Potomac River that runs through Washington.
"Hurricane Irene lashed coastal North Carolina late Friday and had metropolitan New York in its sights, staying on an unusual track that could bring deadly storm surge, heavy rainfall and misery to millions," CNN reported from North Carolina.
It is expected to hit Virginia, Maryland and Washington on Saturday night.
Meanwhile, tens and thousands of people across the east coast were evacuated from the low-lying areas.
"The storm was on a track that experts have feared for decades as they watched the rapid expansion of coastal resorts and housing developments in the lowlands behind them. They have worried that a storm tracking along the shore line, renewing its force over the warm Atlantic and then ripping with each rotation like a circular saw into coastal areas, could produce unprecedented devastation," The Washington Post said.
"It looks like the track of Irene is going to have a major impact along the East Coast starting in the Carolinas all the way up through Maine," said Craig Fugate, director of the Federal Emergency Management Agency.
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