106C-12

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Maintenance charges & apportionment

Rule 106C-12 prescribes a comprehensive list of charges that housing societies can levy, and — critically — a legally binding apportionment basis for each charge. This ends disputes about how charges are split and gives members a clear basis to challenge incorrect billing.

Backed by HPF's team of 20+ advocates·Last updated: 2 July 2026·Source: Gazette No. 366, 22 June 2026
Section 154B-15Section 154B-16

Full list of permissible charges (Rule 106C-12(1))

  • (a) Service charges
  • (b) Property tax
  • (c) Water charges
  • (d) Lift repairs, maintenance, and running — including cost of new lift installation
  • (e) Car parking charges
  • (f) Interest on defaulted charges
  • (g) Loan repayment installments and interest
  • (h) Non-occupancy charges
  • (i) Insurance charges
  • (j) Lease rent
  • (k) Non-agricultural tax
  • (l) Contributions towards various society funds
  • (m) Any other charges approved by the general body — provided they do not contradict the Act and Rules

What counts as "service charges"? (Rule 106C-12(2))

Service charges are the largest component of most societies' monthly bills. Rule 106C-12(2) exhaustively defines what can be included:

  • Salaries of office staff, lift men, watchmen, mali, and any other society employees.
  • If the society has an independent office: property taxes, electricity charges, and water charges for that office.
  • Printing, stationery, and postage.
  • Travelling allowance and conveyance charges for managing committee members and staff.
  • Sitting fees paid to managing committee members at meetings.
  • Annual subscription of the housing federation and other affiliated co-operative societies.
  • Entrance fees for affiliation to the housing federation and other co-operative institutions.
  • Audit fees: internal audit, statutory audit, re-audit, and test audit.
  • Expenses for general body meetings, committee meetings, and sub-committee meetings.
  • Retainer fees, legal charges, and territory enquiry fees.
  • Common electricity charges.

Charge apportionment basis (Rule 106C-12(3))

The managing committee must split charges among members/unit holders strictly on the following basis:

ChargeHow it is split
Service chargesEqually by number of units/flats
Property taxAs fixed by local authority; common area by carpet area of each unit/flat
Water chargesBy total number and size of inlets/taps per flat as per sanctioned building plan
Lift maintenance, running & new liftEqually among flats in the building that has the lift — other buildings excluded
Car parking chargesAt rate fixed by the general body
Interest on defaulted chargesAt rate fixed by general body — not exceeding 12% simple interest per annum
Loan repayment & interestAmount fixed by the financial agency per installment
Non-occupancy charges10% of service charges
Insurance chargesBy carpet area per flat; extra premium for commercial use borne by the commercial occupant
Lease rentBy carpet area of each unit/flat
Sinking fund contributionMin. 0.25% p.a. of construction cost per flat, at rate fixed by general body
Repair & maintenance fundMin. 0.75% p.a. of construction cost per flat, at rate fixed by general body
Major repair fundBy carpet area of each flat/unit
Education & training fund₹10 per member or government-fixed rate — whichever is higher
Election fundEqually by members
Welfare fundVoluntarily by members
Any other fundEqually by members
Amenities charges (club, gym, pool)By usage — those using the amenity
Playground, garden, jogging trackEqually by number of units/flats

Non-occupancy charges — when they apply

Non-occupancy charges are charged when a flat is not occupied by the member or their family. They represent 10% of the service charges.

Common scenario: a member has let out their flat to a tenant. The society can charge 10% extra on top of service charges.

A society cannot charge non-occupancy charges for flats used by the member's family, even if the member personally does not reside there. The charge applies only when no family member of the member occupies the flat.

Interest on defaults — cap of 12% per annum

The general body may fix a rate of interest on overdue maintenance charges, but that rate cannot exceed 12% simple interest per annum (Rule 106C-12 apportionment table, item 6).

The general body — not the managing committee — must pass a resolution fixing this rate. The managing committee cannot unilaterally impose a higher rate.

Frequently asked

Rule 106C-12 says lift charges are split "equally among flats in the building in which lift is provided." Ground-floor flats in the same building can be charged — the rule divides by building, not floor. However, separate buildings without lifts should not be charged for lifts in other buildings.

Need help applying these rules to your society?

This page is for informational purposes only and does not constitute legal advice. For advice specific to your situation, consult a qualified advocate familiar with Maharashtra co-operative law.

Source: Maharashtra Government Gazette, Part IV-B, No. 366, dated 22 June 2026 · Notification No. Sanini 0321/C.R.41/13-C, dated 18 June 2026

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