Is a condominium declaration a contract?

Is a condominium declaration a contract?

Condominium Property Regime

The Declaration is the Big Dog or the Master of the documents, if you will. It is the document that, among other things, establishes the association, contains limitations on use, maintenance requirements and defines the common elements. The bylaws established the company and how it is to be managed.

An association’s “Declaration of Covenants, Conditions and Restrictions” (“Declaration” or “CC&Rs”) is a recorded document that sets forth most of the powers, rights and responsibilities of the association and its members.

The HOA community rules are described in a so-called Declaration of Covenants, Conditions and Restrictions (CC&Rs). The CC&Rs describe the requirements and limits of what you can do with your property. The goal of CC&Rs is to protect, preserve and enhance property values in the community.

While bylaws are generally mutually agreed upon rules governing an organization or business, covenants are often long-term promises to do something or refrain from actions that can last for generations.

How much does a condominium regime cost in Mexico City?

Likewise, Article 16 of the referred law establishes that real estate lease agreements must be declared by the lessor before the Federal Administration, within the term, in the form and with the scope established by such Agency.

In the particular case of the type of contract “Lease on rural real estate”, it must be indicated if it is a lease contract for agricultural production, obliged to the SISA system.

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The computer system will register the reported contract and will issue an acknowledgment of receipt with the completed transaction. This acknowledgement will contain a verification code and can be downloaded from the interactive system. Additionally, it is reminded that the taxpayer must have an updated electronic tax domicile.

Condominium Property Law 2020

Law 27,551 introduced changes in the regulation of lease agreements, which implied an amendment to the National Civil and Commercial Code, as well as the addition of other special and complementary articles.

In addition, it provides that when legal actions are initiated due to the execution of a lease contract, prior to the transfer of the lawsuit, the judge must inform the AFIP about the existence of the contract so that the AFIP may intervene.

Specifically, the resolution implements the “Regime for the registration of real estate lease agreements”, (RELI), so that lease agreements on real estate located in the country can be declared before the AFIP. The data entered are considered as a sworn statement.

d) Leases of fixed or mobile spaces or surfaces -exclusive or not- delimited within real estate such as commercial premises and/or “stands” in supermarkets, hypermarkets, shopping malls, shopping centers, promenades or galleries, etc.

Condominium regime civil code

For example, when a couple or a married couple has bought half of the family home, both are co-owners, that is to say, the property belongs to both without establishing concretely which physical parts belong to each one. Most commonly, the property is divided 50/50.

The extinction of condominium is a solution if the marriage is going to be divorced or the siblings want to divide the property and end the community of goods. It consists in that one of the parts yields the property of the house to another one and it can be given without mortgage or with it.

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With the transfer of ownership there is usually an economic consideration in favor of the owner who transfers his share of the house, although it is not obligatory. For this reason, the extinction of the condominium is a distant relative of the purchase-sale, only with a clear fiscal advantage: you pay less taxes.

Before going into the tax details of the dissolution of condominium it is important that you keep in mind that the Treasury is always alert. Although the economic consideration is not obligatory during the extinction, ceding a part of a property without receiving anything in return can be considered as a disguised donation. Consequently, the Tax Agency will tax it as such.

Is a condominium declaration a contract?
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