Latest Guidance on Maintenance Charges: What owners must know
Recently, from 2024–2025, case law and regulator guidance have emphasised transparency, lawful calculation, auditability, and proportionate allocation of maintenance charges. The Courts have struck down arbitrary or board-only decisions to fix charges (especially per-sq.-ft. rules...) and have required general-body approval, audited accounts, and clear breakups.
Waivers for delayed payments are now not a universal remedy — non-payment typically leads to recovery (with limited grace/relief in exceptional cases), so societies must follow fair notice and recovery procedures.
What Are Apartment Maintenance Charges?
Maintenance in apartments is the fee that the housing societies or the property management charge to maintain the upkeep of common areas to area and the facilities, as well as repairs and day-to-day maintenance. Such Supreme Court follow-ups or determinations on apartment maintenance charges normally involve:
Security Services: Salaries of the security staff and the cost of surveillance systems.
Sanitation and Cleaning: Cleaning communal facilities (corridors, lobbies, stairs, and parking spaces).
Power in Common Areas: Lift, lighting, and common power.
Water Supply: Bore well maintenance, water purification, or tanker supply costs.
Repairs and Maintenance: The elevators, plumbing, and other equipment are serviced frequently.
Waste Management: Garbage collections and disposal fees.
Facilities: Swimming pools, gymnasium, clubhouses, multifunctional halls, and children’s playgrounds, etc.
Reserve Funds or Fundings: Contribution to a corpus fund in case of an unexpected repair or emergencies.
Key Updates on Maintenance Follow-up Charges (2025)
Supreme Court Landmarks and Ruling (Nov 2025):
Maintenance charges must be transparent and fairly allocated among the residents.
Resident Welfare Associations (RWAs) and the builders must disclose how funds are used (repairs, amenities, staff salaries, etc.).
Any arbitrary or hidden charges are prohibited in the 2025 rulings.
Clauses in Agreements (Verification Points):
Mandatory Payments: Every flat owner is legally bound to pay maintenance, regardless of whether they use amenities.
Penalty for Delays: Agreements typically specify the late fees or interest if payments are delayed.
No Waiver Provisions: Courts have clarified that societies cannot waive non-payment charges, and instead, they may allow a short grace period but must enforce recovery thereafter.
Transparency Clauses: Agreements must be included as a clear breakup of charges (security, housekeeping, electricity for common areas, etc.).
Dispute Resolutions: Maintenance disputes should be resolved via RERA or consumer forums, or not arbitrary society decisions.
Supreme Court ruling on Society Maintenance Fees
In a significant decision, the Supreme Court emphasized that the maintenance chargers should be fair enough to, clear, and agreed upon by both parties. Builders are not allowed to impose charges at will or alter the terms after the buyer has signed the contract.
The Court also mentioned:
Maintenance fees need to be clearly specified in the sale contract.
Builders are accountable for maintenance until the Resident Welfare Association (RWA) is officially established.
These fees should not be diverted for purposes unrelated to the upkeep of shared facilities.
This ruling empowers homeowners and ensures that developers are held responsible, particularly in expanding urban areas.
Is there a legal “waiver” for unpaid/delayed maintenance?
Courts do not provide a universal waiver for maintenance fees. The prevailing judicial stance is as follows:
Societies are permitted to impose late fees or interest and can pursue recovery of dues through legal means, provided that recovery procedures (including notifications and resolutions from the general body, when necessary) are adhered to.
Courts anticipate fairness — for instance, reasonable notice, an opportunity for explanation, and clear accounting before any aggressive recovery actions — but failing to pay does not automatically eliminate liability.
In summary: Anticipate recovery (with potential judicially-ordered modifications in rare situations), rather than a waiver.
Practical Takeaways for You
Check your agreement for breakup of charges, penalties, and dispute mechanisms.
No waiver for non-payment — dues accumulate with penalties.
Supreme Court: Maintenance is a legal obligation. RWAs cannot waive fees.
Updated rules require transparency, audits, and upfront disclosure of charges.
In short, Maintenance charges are compulsory; waivers for delay/non-payment are not recognised, but transparency and fairness are legally enforced.
RERA Rules for Maintenance Charges
Real Estate Regulatory Authority (RERA) plays a key role in defining fair housing practices. Under RERA rules for society maintenance charges, the following points are mandated:
Advance Maintenance Should Be Limited
Builders are allowed to collect advance maintenance charges, but usually not more thanone year’s worth, and only until the RWA takes over.
Complete Transparency Required
As per RERA rules for maintenance charges, developers must provide buyers with a breakdown of the amount, frequency, and exact usage of these charges.
The law clearly states that maintenance charges must not be a source of profit fordevelopers. They are strictly for operational and upkeep purposes.
Separate Maintenance Account
Funds collected must be deposited into a dedicated maintenance account, which can beaudited and reviewed by the residents.
These safeguards offer much-needed clarity for buyers considering an under-constructionprojects in Bangalore or any other city.
Supreme Court & RERA Guidelines
Uniform Calculation: Based on carpet area or equal distribution.
Audit Requirement: RWAs must maintain audited accounts.
Legal Enforcement: Non-payment can lead to recovery; essentials cannot be disconnected.
Transparency: Builders must disclose charges upfront.
Society Maintenance Rules: Your Rights and Duties
Society maintenance rules may include:
Voting rights tied to payment status
Knowing these rules helps track how funds are used.
GST on Society Maintenance
If monthly maintenance exceeds ₹7,500 per flat → 18% GST applies
Societies with turnover above ₹20 lakh must register for GST
Below ₹7,500 per month → No GST
What are courts & regulators saying?
Transparency & audit are mandatory.
Judicial pronouncements and RERA-linked guidance require societies/builders to maintainseparate maintenance funds, produce audited accounts, and disclose how collections are spent (security, common electricity, housekeeping, repairs, staff salaries, etc.). Hidden orarbitrary levies are being struck down.
The method of calculation must be approved.
Recent High Court rulings insist that the general body (not just the managing committee)must approve how maintenance gets calculated — e.g., per-unit, undivided share (UDS)basis, or any other formula. Per-sq.-ft. Levies imposed unilaterally by a board have beenheld vulnerable.
Where statutes like the Apartment Act apply, courts have required levies to reflect. undivided interest or flat size — equal levies for unequal flats have been challengedsuccessfully.
Where statutes like the Apartment Act apply, courts have required levies to reflect. undivided interest or flat size — equal levies for unequal flats have been challengedsuccessfully.
The Supreme Court judgment on society maintenance charges has reshaped the financial and operational landscape for housing societies across India. It ensures that homeowners pay only what is fair, that developers maintain transparency, and that funds are used solely for maintaining shared amenities.
Backed by RERA rules for maintenance charges, this judgment provides residents with stronger protection and a legal framework to demand accountability. For both developers and RWAs, it sets a clear precedent for fair governance and ethical fund management.
In this changing landscape, trusted developers such as Nearestate.in continue to uphold transparency, timely delivery, and clear financial practices across their projects. These values align with the principles reinforced by this Supreme Court ruling.
Ultimately, being informed is the best safeguard. Whether you’re a buyer, resident, or society member, understanding the society maintenance charges rules empowers you to make confident decisions, ensure transparency, and protect your investment.
