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Most people try their best to reduce the stamp duty payable on the purchase of property by any means. Some resort to giving wrong cts, area, gat or survey number while others falsely state the age of the building or the condition and amenities of the same.
But most of them are not aware that stamp duty evasion is a serious offence which can sometimes cause a fine many times that of the evaded amount and imprisonment too. Adjudicated documents can be reopened even 6 years from the date of adjudication.
Stamp duty cases can be reopened even 10 years after the document is executed and registered.
Stamp duty is calculated on the basis of the Ready Reckoner rates released by the govt every year. These rates vary from area to area. Generally, these rates are lower than the market rates.
Concession on Stamp Duty is allowed on the basis of –
The age of the building: Depreciation is allowed on a building 2 years old or more. Between 5% to 70% depreciation can be claimed on the total value of the structure (land plus building).
Whether a lift is present or not: If a lift is present in the building, its value will increase by 5% to 20%,depending on the floor that the flat is situated on.
Reduction can also be claimed if the building is 4 stories high without lift. Between 5% to 20% reduction can be claimed, depending on the floor. 1st floor will get 5% reduction while 4th floor can claim 20% deduction.
If a govt body like SBI, Income tax, LIC etc sells a property, the price it sells at is considered the correct market price for the basis of valuation.
| Age of the building in years | Depreciation permissible for a permanent structure (in %) | Depreciation permissible for a temporary or semi-permanent structure (in %) |
| Up to two years | Nil | Nil |
| More than two years but up to five years | 5 | 5 |
| More than five years but up to 10 years | 10 | 15 |
| More than 10 years but up to 20 years | 20 | 25 |
| More than 20 years but up to 30 years | 30 | 40 |
| More than 30 years but up to 40 years | 40 | 55 |
| More than 40 years but up to 50 years | 50 | 70 |
| More than 50 years but up to 60 years | 60 | 80 |
| More than 60 years | 70 | 85 |
Stamp Duty on Gift Deeds
From father to son : 1% Stamp Duty + Rs 500. Registration Rs 200.
Depreciation is also applicable on gift deeds in Maharashtra. Between 5% to 70% depreciation is applicable depending on age of building and whether lift is there or not.
From Brother to SIster : 5% Stamp Duty.
Depreciation is also applicable on gift deeds in Maharashtra. Between 5% to 70% depreciation is applicable depending on age of building and whether lift is there or not.
| Age of the building in years | Depreciation permissible for a permanent structure (in %) | Depreciation permissible for a temporary or semi-permanent structure (in %) |
| Up to two years | Nil | Nil |
| More than two years but up to five years | 5 | 5 |
| More than five years but up to 10 years | 10 | 15 |
| More than 10 years but up to 20 years | 20 | 25 |
| More than 20 years but up to 30 years | 30 | 40 |
| More than 30 years but up to 40 years | 40 | 55 |
| More than 40 years but up to 50 years | 50 | 70 |
| More than 50 years but up to 60 years | 60 | 80 |
| More than 60 years | 70 | 85 |
NOTE : Depreciation is only available for properties which are sold at Ready Reckoner rates. For properties sold at prices higher than Ready Reckoner Prices, no Depreciation is allowed.
Here is a copy of the 2013 Ready reckoner for Navi Mumbai
Ref : DNA property.
This was extremely helpful!
hi mayur,
I am buying a 1BHK from a builder in Ulwe. The building has a OC. I know I have to pay 5% stamp duty & Registration fee of 1%. I have been told that because the building has a OC, there is no need for me to pay VAT or service tax. Please let me know if I am correctly informed.
You may have to pay VAT.You don’t have to pay service tax.
Thank you.