RERA compliance for real estate developers in Maharashtra

The Real Estate (Regulation and Development) Act, 2016 (RERA) brought transparency and financial discipline to real estate projects. In Maharashtra, it is administered by MahaRERA. Here is how the key financial requirements work for developers, and where a Chartered Accountant comes in.

Which projects need registration

Under the Act, a real estate project generally needs to be registered with the state authority before it is advertised, marketed or sold, where the land proposed for development exceeds 500 square metres or the number of apartments exceeds eight, across all phases. Registration involves disclosures about the promoter, the project, approvals, timelines and the project's finances.

The designated bank account

Promoters maintain a separate, designated bank account for each registered project. Under the Act, 70% of the amounts realised from allottees are deposited in this account, and the Maharashtra framework can call for a higher share in some situations. The money in the account is used for the cost of land and construction of that project.

Withdrawals and Form 3

Withdrawals from the designated account are made in proportion to the percentage of completion of the project. In Maharashtra, each withdrawal is supported by three certificates:

• Form 1: from the project architect, on the percentage of completion.
• Form 2: from the project engineer, on the work done and the cost incurred.
• Form 3: from a practising Chartered Accountant, certifying the cost incurred and the amount eligible for withdrawal.

Form 3 brings the numbers together: the estimated project cost, the cost incurred so far, the collections and the deposits in the designated account. Accurate project books make each certificate quicker and simpler.

Annual audit and Form 5

The accounts of the project are audited within six months after the end of every financial year by a practising Chartered Accountant. In Maharashtra, the CA's annual report on the statement of accounts is issued in Form 5. It verifies that collections were deposited in the designated account as required and that withdrawals were used for the project. Promoters upload Form 5 on the MahaRERA portal, typically by 30 September each year.

Regular updates

Promoters also update project progress on the MahaRERA portal every quarter, including the construction status and bookings, so that buyers and the authority can track the project.

Practical habits that keep compliance smooth

• Keep separate books for each project, with costs tagged to land, construction and other heads.
• Reconcile the designated account every month with collections from allottees.
• Track the estimated cost to complete, and update it when designs or prices change.
• Keep allottee-wise records of agreements, demands and receipts.
• Plan GST for the project early, as the treatment depends on the type of project and the stage of sale.

How we help

We support developers with RERA registration, Form 3 certificates, Form 5 annual reports, project accounting, redevelopment accounting and tax, statutory audit and GST. See our real estate services, or visit the MahaRERA website for the official rules and circulars.

This article is general information, updated in October 2026. Laws, rates and due dates change, so confirm the position for your situation before acting.