What are Stamp Duty and Registration Fees?
It is important to understand Stamp Duty and Registration Fees, if you are planning to buy an apartment or an individual house.
The Indian Stamp Act, 1899 is a fiscal statute that levies stamp duty on legal and commercial instruments. While the Union government sets the rates for financial documents like bills and shares, individual states administer and collect the duties, determining the specific rates for agreements and real estate transactions.
Thus, Stamp duty is a government tax levied on legal documents relating to the transfer, sale, or lease of real estate. Paying this charge makes the transaction legally valid, acts as proof of ownership, and ensures the document is admissible in court.
Stamp duty is separate from registration fees, which are fixed administrative costs paid to officially record the deed in government registers. Registration fees are covered by Registration Act, 1908.
As the Stamp duty is levied by each state government and so, its rate differs from state to state. Also, there are concessional stamp duty rates for ladies in some Indian states. So, the exact rate varies significantly depending on your state, gender and the property’s market value.
Understanding how this impacts your transactions involves considering several key factors:
Value of Transaction: It is calculated as a percentage of either the transaction agreement value or the government-assessed market value, whichever is higher.
Who Pays: It is typically the responsibility of the buyer or transferee.
Tax Benefits: Under Section 123 of the Income Tax Act, 2025 (corresponding to Section 80C of the Income Tax Act, 1961), individuals can claim tax exemptions of up to ₹1.50 lakh for stamp duty and registration charges paid during a property purchase.
To successfully register a property and pay stamp duty, you must present the finalized Sale Deed, government-issued ID and address proofs (like Aadhaar, PAN) for all parties, and property-specific documents to your local Sub-Registrar’s Office (SRO).
Required Documents
A comprehensive list of documents required for verification at the Sub-Registrar’s Office includes:
1. Primary & Property Documents
• Sale Deed / Conveyance Deed: The drafted and executed document that transfers the property title.
• Parent Deeds: Copies or originals of previous title deeds tracing the property’s history to ensure a clear title.
• Patta, Chitta, and Adangal: Land revenue and ownership records (specifically required in Tamil Nadu).
• Encumbrance Certificate (EC): Shows that the property is free from any legal or monetary liabilities.
• Property Tax Receipts: The latest bills to prove no dues exist.
• Building Plan Approval & NOC: If purchasing a plot or apartment, building plan approvals and a No Objection Certificate are usually required.
2. Personal Identification & Records
• PAN Card: Mandatory for property transactions. If the transaction exceeds ₹10 Lakhs, Form 60 (Income Tax Act) must be submitted if a PAN is unavailable.
• Identity & Address Proof: Aadhaar card, driving license, voter ID, or passport for both the buyer, seller, and witnesses.
• Passport-Size Photographs: At least two recent passport-sized photographs of both buyers and sellers.
3. Payment & Official Receipts
• Stamp Duty and Registration Fee e-Receipt: Proof that the applicable stamp duty and registration fees have been fully paid.
• Power of Attorney (POA): If either party is representing someone else, the legally registered POA must be presented.
Here the stamp duty and registration fees as applicable for various states:
1. Stamp Duty and Registration Charges Guide for Tamil Nadu
Here are the standard stamp duty and registration fees for common types of deeds across the state of Tamil Nadu that are applicable currently:
| Document Category | Stamp Duty | Registration Fees |
|---|---|---|
| Conveyance / Sale Deed | 7% of the property value | 4% of the property value (3% for women up to Rs. 10 Lakhs) |
| Gift Deed (Family) | 7% of the property value | 4% of the property value |
| Simple Mortgage | 1% on the loan amount | 1% of the loan amount (Maximum: ₹10,000/-) |
| Partition Deed (Family) | 1% of value (Maximum: ₹25,000/share) | 1% of value (Maximum: ₹4,000/share) |
| Cancellation Deed | ₹50/- | ₹50/- |
To process your document, visit the official Tamil Nadu Registration Department portal – https://tnreginet.gov.in/portal/ to calculate precise fees, book your sub-registrar appointment, and pay the applicable charges.
2. Stamp Duty and Registration Charges Guide for Telangana
Here are the standard stamp duty and registration fees for common types of deeds across the state of Telangana that are applicable currently:
| Document Category | Stamp Duty | Registration Fees |
|---|---|---|
| If Property is situated under Corporations and special grade municipalities | 5.50% of the property value (Stamp Duty of 4% and Transfer Duty of 1.50%) | 0.50% of the property value |
| If Property is situated under Gram Panchayat | 5.50% of the property value | 2% of the property value |
| Sale Agreement (along with possession) | 5.50% of the property value (Stamp Duty of 4% and Transfer Duty of 1.50%) | 0.50% of the property value |
| Sale Agreement (without possession) | 0.50% of the property value | 0.50% of the property value |
| Simple Mortgage | 0.50% of the property value | 0.10% of the property value |
| Conveyance Deed / Certificate of Sale | 0.50% of the property value | 5% of the property value |
| Gift Deed (Family) | 2% of the property value | 0.50% of the property value (Minimum: ₹2,000/- | Maximum: ₹25,000/-) |
| Gift Deed (Non-Family Members) | 5% of the property value | 0.50% of the property value (Minimum: ₹2,000/- | Maximum: ₹1,00,000/-) |
| Partition Deed (Family) | 0.50% of property value (Maximum: ₹20,000/share) | ₹1,000/- |
| Partition Deed (Non-Family Members) | 2.50% of the property value | 0.50% of the property value (Maximum: ₹1,00,000) |
| Cancellation Deed | ₹100/- | ₹1,000/- |
To process your document, visit the official Telangana Registration Department portal – https://registration.telangana.gov.in/TGMV_Client/NonAgri.htm to calculate precise fees, book your sub-registrar appointment, and pay the applicable charges.
3. Stamp Duty and Registration Charges Guide for Andhra Pradesh
Here are the standard stamp duty and registration fees for common types of deeds across the state of Andhra Pradesh that are applicable currently:
| Document Category | Stamp Duty | Registration Fees |
|---|---|---|
| Conveyance / Sale Deed | 6.50% of the property value (Stamp Duty of 5% and Transfer Duty of 1.50%) | 1% of the property value |
| Simple Mortgage | 0.50% of the property value | 0.50% of the property value |
| Gift Deed (Family) | 2% of the property value | 0.50% of the property value (Minimum: ₹1,000/- | Maximum: ₹10,000/-) |
| Cancellation Deed | Up to ₹200/- | ₹1,000/- |
To process your document, visit the official Andhra Pradesh Registration Department portal – https://registration.ap.gov.in/igrs to calculate precise fees, book your sub-registrar appointment, and pay the applicable charges.
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