What is the direct role of tenants in society accounting? Can the Housing Society levy charges directly on them? Or does a society accounting system only accounts for permanent owners?
The answer is No. The Housing Society can levy all charges only on the Member, who is the Owner of the Apartment. The Tenant does not come in direct contact of the Society w.r.t. Charges.
The owner is responsible for settling all charges towards the Society and makes necessary adjustments with the Tenant.
In some cases, the Owner, if residing outside of City/Country, may arrange for the Tenant to make payments on behalf of himself. In such cases, the Bills are to be raised still in the name of the Member (owner), whereas the Receipt may be given in name of the Tenant in society accounting, as proof of payment made by him.
While the Owner takes all Responsibilities for timely payment of Society Charges, the Society must also not interfere with the Rent charged by the Owner to his Tenant, as this has no bearing to the services given by the Society. This is upheld by the Apex court ruling of 2007.
The Society General Body reserves the right to allow disallow certain Tenants to occupy the premises, and the Owner as part of the General Body must abide by the same.
Reach out to ADDA experts at 022 4890 5764 or sales@adda.io to know more about the role of tenants in your society accounting system.