Stamp duty rates and residential property registration costs rely on several requirements across various States. In Mumbai, stamp Duty imposed under the Maharashtra Stamp Duty Act.
To enhance the realty market struck by COVID-19, the Maharashtra federal government has reduced stamp responsibility on homes from 5 per cent to 2 per cent up until December 31, 2020. Post-December 2020, the government will undoubtedly impose a 3 per cent stamp duty on properties until March 31, 2021.
The State federal government had previously reduced stamp dusty fees on buildings for the following two years in the areas dropping under the Mumbai Metropolitan Region Development Authority (MMRDA) and municipal corporations of Pune Pimpri-Chinchwad and Nagpur.
Stamp Duty prices on home rely on several requirements throughout Maharashtra state. This consists of whether the property is in urban or backwoods, the total cost of the purchase, and so on.
Previously in April 2020, the Maharashtra government has lowered stamp Duty on homes for the next two years in the areas falling under the Mumbai Metropolitan Region Advancement Authority (MMRDA) and community companies Pune, Pimpri-Chinchwad, and Nagpur. This suggests that stamp responsibility on properties in Mumbai, Pune, and Nagpur billed at 5% (4% stamp responsibility + 1% metro cess).
|Cities||Stamp Duty rates (w.e.f. April 1, 2020)||Stamp Duty Rate from September 1, 2020, till December 31 2020||Stamp Duty Rate from January 1, 2021, till March 31 2021|
|Mumbai||5% (Includes 1% metro)||2%||3%|
|Pune||6% (includes local body tax and transport surcharge)||3%||4%|
|Thane||6% (includes local body tax and transport surcharge)||3%||4%|
|Navi Mumbai||6% (includes local body tax and transport surcharge)||3%||4%|
|Pimpri – Chinchwad||6% (includes local body tax and transport surcharge)||3%||4%|
|Nagpur||6% (includes local body tax and transport surcharge)||3%||4%|
The above rates are derived from the official website. Last updated on August 27, 2020
Basic stamp duty is a kind of property tax paid by house customers while buying a building. Like various other states in India, Maharashtra, too, levies stamp duty and registration fees on all sorts of properties consisting of estate or leasehold, land (agricultural and non-agricultural), independent houses or flats, and domestic apartments or commercial buildings.
The Maharashtra Stamp Duty Act, 1958 applies across the entire State of Maharashtra. The Act levies stamp responsibility on realty buildings at a price taken care of by the State government.
Stamp duty charges are payable at prices based upon several parameters consisting of the marketplace worth of the residential or commercial property, area of the residential or commercial property, or different other criteria.
Given that an industrial unit consists of several facilities, flooring area, and protection features, the stamp responsibility on a commercial building is slightly more significant than a house.
The state’s registration charges are 1% of the overall cost for the residential properties valued listed below Rs 30 lakhs and covered at Rs 30,000 for buildings valued above Rs 30 lakhs.
According to Short article 34 of the Maharashtra Stamp Act, which is modified in 2017, stamp duty on gift deed is 3% of the residential or commercial property’s value. However, if the building in consideration is a residential or agricultural residential or commercial property and is talented (with no settlement) relative, after that, the stamp responsibility is Rs 200.
To increase sales, the National Real Estate Development Council (NAREDCO), Maharashtra, likewise introduced that they would take in the 3% stamp task on building acquisition and use a waiver to home customers, till December 31, 2020. Previously, the scheme was available till Diwali of 2020; however, urged by the jump in sales, the building contractor organization has expanded the project till the year-end.
Stamp duty in Mumbai depends on the region, depending upon the property’s location and type of deed.
|Areas in Mumbai||Stamp Duty in Mumbai|
|Within the municipal limits of any urban area||5% of market value|
|Within the limits of any municipal council/ panchayat/area within MMRDA||4% of market value|
|Within the limits of any gram panchayat||3% of market value|
The state’s government had announced 3% of wavier on stamp duty from September to December & 2% of waiver from Jan to March 2021 from boosting the real estate sector. Which is very helpful to all.
According to some real estate news portal, the revenue was drastically reduced to Rs 15,000 Cr in this financial year compared to standard Rs 28,000Cr every fiscal. As the flat registration started picking up, and the revenue also started increasing, there was an upside revision of the revenue target to 22.000 Cr this financial year.
Also Read:- Is 2021 the best time to purchase a home?