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Rajinama in Nepal refers to the formal deed of transfer by which ownership of immovable property is conveyed from one party to another and registered at the Land Revenue Office (Malpot Karyalaya). Under the National Civil Code 2074 (2017), Land Revenue Act 2034 (1977), and Registration Act 2034, a Rajinama is the legally recognized instrument for transferring rights in land, houses, and other immovable assets. Consequently, no transfer of immovable property is deemed complete or enforceable against third parties until the deed is duly executed, stamped, and registered. Furthermore, with capital gains tax rates revised to 7.5% for long-term holdings and 10% for short-term holdings under the Finance Act 2083, and with registration fees calculated on the higher of declared value or government valuation, the financial and legal stakes of every property transaction have increased significantly. Therefore, understanding the complete Rajinama process in Nepal is essential for buyers, sellers, investors, and legal practitioners.
What Is Rajinama in Nepal?
Definition of Deed of Transfer
Rajinama in Nepal is a written legal instrument—also referred to as a deed of transfer—by which the owner of immovable property (the transferor) conveys ownership rights to another person (the transferee). Under Section 413 of the National Civil Code 2074, a person who sells, donates, gifts, exchanges, or otherwise transfers property in which he or she has ownership is deemed to have transferred that property to the other person. Under Section 414, the transfer of immovable property and cash amounting to more than NPR 100,000 by way of donation or gift must be made by a deed executed in accordance with law. For sales and commercial transfers, a written Rajinama is mandatory regardless of value.
Why Rajinama Registration Is Mandatory
Rajinama registration is mandatory because Section 464 of the National Civil Code 2074 requires that deeds transferring rights in immovable property be registered at the competent office. An unregistered deed that is legally required to be registered is not legally recognized. Registration provides public notice of the transfer, protects the transferee against competing claims, and enables the government to collect applicable taxes and maintain accurate land records. Without registration, the transferee cannot obtain a new Lalpurja (ownership certificate) or exercise full ownership rights.
Rajinama in Nepal: Legal Framework
The Nepal property transfer law is built upon several statutes that operate in conjunction.
| Legislation | Year | Key Provisions for Rajinama |
|---|---|---|
| National Civil Code 2074 | 2017 | Sections 413-432: property transfer, competence of transferor, joint property consent, prohibition on duplicate transfer, foreigner restrictions, registration requirements |
| Land Revenue Act 2034 | 1977 | Deed registration at Malpot, valuation, fee collection, mutation (Dakhil Kharej), title record maintenance |
| Land Revenue Rules 2036 | 1979 | Procedural rules for document submission, verification, execution, and certificate issuance |
| Registration Act 2034 | 1977 | Mandatory registration of immovable property deeds; priority of registered deeds |
| Land Act 2021 | 1964 (amended 2024) | Land ceilings, tenancy rules, restrictions on landholding, agricultural land protection |
| Income Tax Act 2058 | 2002 | Section 95A: capital gains tax on property disposal; advance tax collection at Malpot |
| Finance Act 2083 | 2025 | Revised CGT rates: 7.5% (long-term) and 10% (short-term) for individuals |
| Foreign Investment and Technology Transfer Act 2075 | 2019 | Restrictions on foreign ownership of immovable property |
| Electronic Transactions Act 2063 | 2008 | Legal basis for digital land records and online verification |
Types of Rajinama (Deed of Transfer) in Nepal
The term Rajinama encompasses several distinct types of property transfers, each governed by specific rules.
| Type of Rajinama | Nepali Term | Description | Tax Treatment |
|---|---|---|---|
| Sale Deed | Bikri Rajinama | Transfer of ownership for monetary consideration | Capital gains tax applies |
| Gift Deed | Bakas Patra / Dan Patra | Transfer without monetary consideration | 0.5% to 5% tax based on relationship; registration mandatory if value exceeds NPR 100,000 |
| Exchange Deed | Bartar Rajinama | Mutual exchange of properties between parties | CGT on difference in value |
| Partition Deed | Ansabanda Rajinama | Division of joint or coparcenary property | Generally no CGT for equal partition; unequal partition may trigger tax |
| Mortgage Deed | Dharauti Rajinama | Creation of security interest without possession transfer | Registration fee only; no CGT |
| Release Deed | Chhut Rajinama | Renunciation of claim or share in property | Registration fee; tax depends on nature |
Step-by-Step Rajinama Registration Process in Nepal
Step 1: Pre-Transaction Due Diligence
Before executing a Rajinama, the transferee is required to verify the following:
| Verification Item | Method | Purpose |
|---|---|---|
| Ownership verification | Lalpurja check at Malpot | Confirm seller holds valid title |
| Encumbrance check | Rokka certificate from Malpot | Confirm no mortgage, lien, or court attachment |
| Tax clearance | Current fiscal year Tiro Rasid | Confirm no outstanding land revenue |
| Boundary verification | Napi map and Char Killa certificate | Confirm physical boundaries match records |
| Coparcener consent | Written NOC from family members | Validate transfer of ancestral property |
| Ward office clearance | Property tax clearance certificate | Municipal compliance |
Step 2: Drafting the Rajinama
The deed is drafted in Nepali on stamp paper or prescribed format. Essential contents include:
| Deed Element | Required Content |
|---|---|
| Date and place of execution | Location where deed is signed |
| Parties' details | Full names, citizenship numbers, addresses of transferor and transferee |
| Property description | Kitta number, area, location, boundary details, Napi sheet reference |
| Transfer type | Sale, gift, exchange, or other |
| Consideration | Sale price or declared value (must not be below government valuation) |
| Payment terms | Mode and timing of payment |
| Representations | Transferor's warranty of clear title and no encumbrances |
| Signatures | Both parties and at least two witnesses |
Step 3: Submission to Land Revenue Office
Both parties—or their duly authorized attorneys—appear at the Land Revenue Office (Malpot Karyalaya) having jurisdiction over the property. The following documents are submitted:
| Document | Purpose |
|---|---|
| Original Lalpurja | Proof of transferor's ownership |
| Citizenship certificates | Identity verification of both parties |
| Passport-sized photographs | Biometric record and deed attachment |
| Tax clearance receipt (Tiro Rasid) | Proof of current land revenue payment |
| Napi trace map / blueprint | Cadastral verification of plot |
| Four-boundary certificate (Char Killa) | Confirmation from local level of adjoining plots |
| Property tax clearance | Municipal tax compliance |
| PAN cards | Tax identification for CGT calculation |
| Consent of coparceners (if applicable) | Validation for ancestral property |
| Power of Attorney (if represented) | Legal authorization for appearance |
Step 4: Government Valuation and Fee Assessment
The Land Revenue Office assesses the transaction against the minimum government valuation (Nyunatam Mulyankan) of the area. The registration fee and taxes are computed on the higher of the declared consideration or the official valuation.
| Fee / Tax Component | Rate | Responsible Party |
|---|---|---|
| Registration fee | 2% to 4.5% of valuation | Buyer (typically) |
| Stamp duty | 1% to 2% of valuation | Buyer |
| Capital gains tax (individual, held >5 years) | 7.5% on gain | Seller |
| Capital gains tax (individual, held ≤5 years) | 10% on gain | Seller |
| Capital gains tax (companies/firms) | 1.5% of sale value at Malpot | Seller |
| Local tax | As per municipality | Buyer or seller per agreement |
Capital gains calculation: Gain = Sale price (or government valuation, whichever is higher) minus original purchase price minus documented expenses (original registration fee, broker commission, legal fees, improvement costs with receipts).
Step 5: Fee Payment and Execution
The assessed fees and taxes are paid at the designated bank or through electronic payment channels. Payment vouchers are submitted to the Land Revenue Office. Both parties then appear before the registration officer, where:
| Execution Step | Detail |
|---|---|
| Identity verification | Citizenship and photographs checked |
| Biometric recording | Thumb impression and signature captured |
| Deed reading | Contents read aloud to both parties |
| Consent confirmation | Parties affirm understanding and voluntary consent |
| Registration officer endorsement | Deed stamped and registered with official seal |
| Entry in land records | Transaction recorded in official register |
Step 6: Mutation (Dakhil Kharej) and New Lalpurja
Upon registration, the mutation (Dakhil Kharej) process is initiated to update the title records. The transferor's name is removed, and the transferee's name is entered. A new Lalpurja (land ownership certificate) is issued in the transferee's name, typically within 7 to 21 days.
| Post-Registration Step | Timeline | Purpose |
|---|---|---|
| Mutation application | Same day as registration | Update revenue records |
| Napi record update | 7 to 14 days | Update survey maps |
| New Lalpurja issuance | 7 to 21 days | Legal proof of new ownership |
| Utility transfer | 7 to 14 days | Transfer electricity, water connections |
Key Legal Requirements for Valid Rajinama
Competence of Transferor
Under Section 414 of the Civil Code 2074, the transferor must be competent at the time of transfer. A guardian or curator selling immovable property of a person under guardianship requires court permission.
Consent Requirements for Joint and Common Property
| Property Type | Consent Required | Legal Basis |
|---|---|---|
| Joint property | Consent of all co-owners | Section 418 |
| Property in common (coparcenary) | Written consent of all coparceners | Section 419 |
| Ancestral property | All legal heirs must consent or receive share | Section 205-236 |
Any transfer without required consent is voidable or partially void, and affected parties may challenge it in court.
Prohibition on Duplicate Transfer
Under Section 422, no person shall re-transfer property already transferred to another. In case of duplicate transfers, the deed registered at an earlier date prevails for immovable property. For movable property, the person who took possession earlier prevails.
Foreigner Restrictions
Under Section 432, no immovable property may be transferred to a foreigner without prior government permission. A deed executed in violation is void, and the property devolves on the Government of Nepal.
Stamp Duty and Registration Fee Structure
| Transaction Value / Parameter | Registration Fee | Stamp Duty | Total Government Cost (Approx.) |
|---|---|---|---|
| Up to NPR 100,000 | NPR 500 | NPR 500 | 1% |
| NPR 100,001 – 500,000 | 2% of value | 1% of value | 3% |
| NPR 500,001 – 2,500,000 | 3% of value | 1.5% of value | 4.5% |
| NPR 2,500,001 – 10,000,000 | 4% of value | 2% of value | 6% |
| Above NPR 10,000,000 | 4.5% of value | 2% of value | 6.5% |
Note: Rates may vary slightly by municipality and are subject to annual budget amendments.
Capital Gains Tax on Property Transfer (2026 Rates)
Under the Finance Act 2083 (effective Shrawan 1, 2083 / July 16, 2026):
| Seller Category | Holding Period | CGT Rate | Tax Base |
|---|---|---|---|
| Resident individual | More than 5 years | 7.5% | Gain (sale price minus cost minus expenses) |
| Resident individual | 5 years or less | 10% | Gain |
| Company / registered firm | Any period | 1.5% of sale value at Malpot | Sale value; reconciled in corporate return |
| Government compulsory acquisition | Any period | 2.5% | Gain |
Exemptions:
- Transactions below NPR 10 lakh are generally exempt from CGT
- Property held for 10+ years and sold for up to NPR 10 lakh is exempt
- Inheritance transfers are exempt (but subsequent sale by heir is taxable with stepped-up basis)
Common Mistakes and Legal Risks in Rajinama
| Mistake | Legal Risk | Prevention |
|---|---|---|
| Undervaluation (declaring price below actual) | Tax evasion charges; deed cancellation | Declare at or above government valuation |
| Failure to check Rokka (encumbrance) | Transfer of mortgaged property; buyer liability | Obtain encumbrance certificate before purchase |
| Missing coparcener consent | Voidable transfer; partition suit | Obtain NOC from all legal heirs |
| Delayed registration beyond 35 days | Penalty; potential challenge by third parties | Register immediately after execution |
| Foreign buyer without permission | Void deed; property devolves to government | Obtain MOFA/DOI approval before transfer |
| Forged signatures or POA | Criminal prosecution for fraud | Verify identity and POA authenticity |
| Incomplete boundary description | Future boundary disputes | Cross-check with Napi map and physical survey |
Frequently Asked Questions About Rajinama in Nepal
Q1: What is Rajinama in Nepal?
Rajinama in Nepal is the formal deed of transfer by which ownership of immovable property is conveyed from a transferor to a transferee and registered at the Land Revenue Office (Malpot). It is the legally recognized instrument for property sales, gifts, exchanges, and other transfers.
Q2: Is Rajinama registration mandatory for property transfer?
Yes. Under Section 464 of the National Civil Code 2074, deeds transferring rights in immovable property must be registered to be legally valid and enforceable. Unregistered deeds are not recognized by law.
Q3: What documents are required for Rajinama registration?
Required documents include the original Lalpurja, citizenship certificates of both parties, tax clearance receipt (Tiro Rasid), Napi trace map, Char Killa (four-boundary certificate), property tax clearance, PAN cards, photographs, and coparcener consent if applicable.
Q4: How much does Rajinama registration cost?
Registration fees range from 2% to 4.5% of the property value, stamp duty from 1% to 2%, and capital gains tax from 7.5% to 10% for individuals (or 1.5% of sale value for companies). Total government costs typically range from 3% to 8% of the transaction value.
Q5: What is the capital gains tax rate on property sale in Nepal?
For resident individuals, CGT is 7.5% on the gain if held for more than 5 years, and 10% if held for 5 years or less. Companies pay 1.5% of the sale value at Malpot. Rates were revised under the Finance Act 2083 effective July 16, 2026.
Q6: How long does Rajinama registration take?
The registration process at the Land Revenue Office typically takes 3 to 7 working days if all documents are complete. Mutation and new Lalpurja issuance take an additional 7 to 21 days.
Q7: Can a foreigner buy property in Nepal through Rajinama?
No. Under Section 432 of the Civil Code 2074, foreigners cannot acquire immovable property in Nepal without prior government permission. A deed executed in violation is void, and the property devolves to the government.
Q8: What is the difference between Rajinama and Dakhil Kharej?
Rajinama is the deed of transfer itself—the legal instrument signed by both parties. Dakhil Kharej is the mutation process by which the Land Revenue Office updates the revenue records and issues a new Lalpurja in the buyer's name.
Q9: Is there a time limit for registering a Rajinama?
Yes. Deeds should ideally be registered within 35 days of execution. Delayed registration may attract penalties and exposes the parties to risks from competing claims or third-party registrations.
Q10: What happens if a property is sold to two different buyers?
Under Section 422, if a property is transferred to two parties, the deed registered at an earlier date prevails for immovable property. For movable property, the party who took possession earlier prevails. The second buyer may sue the seller for fraud.
Q11: Can property be transferred by Power of Attorney instead of personal appearance?
Yes. Both parties may appoint attorneys through a registered Power of Attorney to appear at the Land Revenue Office on their behalf. The POA must be notarized and, if executed abroad, authenticated by the Nepali embassy and Ministry of Foreign Affairs.
Q12: What is the government valuation (Malpot Mulyankan) in property transfer?
The government valuation is the minimum assessed value of property set by the Land Revenue Office for tax and fee calculation. Registration fees and CGT are computed on the higher of the declared transaction price or the government valuation, preventing undervaluation for tax evasion.
Conclusion
Rajinama in Nepal is the cornerstone of immovable property transactions, serving as the legal bridge between seller and buyer and the administrative mechanism by which the state records ownership changes. From the National Civil Code 2074 requirements for written deeds and registration to the Land Revenue Act 2034 procedures for valuation, fee assessment, and mutation, every stage of the Rajinama process demands precision and compliance. The revised capital gains tax rates under the Finance Act 2083—7.5% for long-term and 10% for short-term holdings—have increased the financial complexity of property transfers. The prohibition on foreign ownership, the requirement for coparcener consent in ancestral property, and the priority rules for duplicate transfers all underscore the need for meticulous legal preparation.
Therefore, professional legal guidance is strongly recommended before executing any property transfer. Attorney Nepal Pvt Ltd provides comprehensive Rajinama services in Nepal, including due diligence, deed drafting, document verification, Malpot registration coordination, tax calculation, mutation support, and dispute resolution. Contact our team today to ensure your property transfer is executed with full legal validity and compliance.
Disclaimer: This guide is published for informational and educational purposes only. It does not constitute legal advice, advertisement, solicitation, or inducement of any kind. Attorney Nepal Pvt Ltd shall not be liable for any consequences arising from actions taken based on the information contained herein. For specific legal advice tailored to your property transfer needs, please consult a qualified legal professional.
References
National Civil Code 2074 — Nepal Law Commission
Land Revenue Act 2034 — Nepal Law Commission
Land Revenue Rules 2036 — Nepal Government
This article is for general informational purposes only and does not constitute legal advice. For advice on your specific situation, please contact Attorney Nepal directly.
