Stamp Duty and Property Registration Charges in Mumbai 2024

You might be planning to own a house for years, but it is essential to know that buying a home is not a cakewalk. It is both financially and emotionally overwhelming. From down payments to applying for loans and signing sale agreements, there are numerous things to take care of. And even after possession of your house, you need to register it in your name. In most cases, the buyer has to pay an amount in order to do this, known as Stamp Duty. And just like any other city in India, if you wish to purchase a home in Mumbai, you must take into account the charges of the stamp duty in Mumbai before finalising your total budget.

Stamp duty is a kind of tax that you have to pay to the Government of India for the transaction of any immovable property. You need to register the property against your name in the local municipal records. This registration charge or the Stamp Duty is vital for legal possession of your house. Payment of this tax is mandatory under Section 3 of the Indian Stamp Act, 1899.

Stamp duty rates vary from state to state and are also dependent on the market value of a specific property. There are several other fixed-rate instruments to calculate stamp duty. Once you are aware of that, you can prepare accordingly. The Maharashtra Government has revised the Stamp duty rates recently. In this article, we will be discussing the Stamp duty in Mumbai in detail.

The Maharashtra Stamp Act and Stamp Duty in Mumbai

The Maharashtra Stamp Act was passed in 1958 to handle stamp duty-related issues in Maharashtra. This act covers all the specified instruments in Schedule 1 of the act. Any other tools come under the India Stamp Act, or they might not be chargeable at all. Moreover, this stamp duty is charged only on an instrument. Stamp duty is not applicable on a transaction. The Stamp duty in Mumbai is levied under the Maharashtra Stamp Act, 1958. Stamp duty on property in Mumbai depends upon various factors like whether the property is located in an urban or rural area and the transaction cost.

Stamp Duty Rates in Mumbai and Adjoining Areas

In 2020, when the state faced a slowdown in the Real Estate industry, the Maharashtra Government announced reducing stamp duty on commercial properties. In August 2020, Maharashtra Government announced that they are reducing the stamp duty for the next three months. The new rate after the reduction was 2% (from earlier 5%) and applied from 1st September to 31st December 2020. From 1st January 2021, people were to pay a 3% stamp duty on the property value. This decision initially boosted property sales in Maharashtra.

However, Maharashtra Government announced not to extend the cut anymore in March 2021. The earlier rate of stamp duty was restored from 1st April 2021. Therefore, the current stamp duty on commercial property in Mumbai is charged at a rate of 5% (4% stamp duty + 1% metro cess) of the market rate of the property.

In a special announcement, on 8th March 2021, the Government declared that there would be a one per cent rebate in stamp duty for female buyers. Therefore, if the property is transferred in a woman’s name, the stamp duty in Navi Mumbai would be 4%. This rebate does not apply to joint buyers.  Check the table below to understand stamp duty and registration charges in Thane and other parts of Mumbai.

Cities	Mumbai	Pune	Thane	Navi Mumbai	Pimpri-Chinchwad	Nagpur
Stamp duty rates are applicable from 1st April 2021	5% (including 1% metro cess)	6% (including local body and transport surcharge)	6% (including local body and transport surcharge)	6% (including local body and transport surcharge)	6% (including local body and transport surcharge)	6% (including local body and transport surcharge)
Stamp duty rates are applicable from 1st April 2021 (Female only)	4% (including 1% metro cess)	5% (including local body and transport surcharge)	5% (including local body and transport surcharge)	5% (including local body and transport surcharge)	5% (including local body and transport surcharge)	5% (including local body and transport surcharge)
Stamp duty rates are applicable from 1st September to 31st December 2020	2%	3%	3%	3%	3%	3%
Stamp duty rates are applicable from 1st January to 31st March 2021	3%	4%	4%	4%	4%	4%

Registration Charges in Mumbai and Adjoining Areas

The Government charges tax when a buyer wants to register a property in his/her name. This tax is called property registration charges. The rate of this charge differs from state to state. A typical registration charge is 1% of the deal value. In some states, there is a flat registration charge. The Maharashtra Government also has a flat registration charge in Mumbai on properties worth over Rs 30 lakh. You can also make your own stamp duty calculator Mumbai by using the figures below:

Cities	Mumbai	Pune	Thane	Navi Mumbai	Pimpri-Chinchwad	Nagpur
The registration charge for properties worth over Rs 30 lakh	RS 30,000	RS 30,000	RS 30,000	RS 30,000	RS 30,000	RS 30,000
The registration charge for properties worth less than Rs 30 lakh	1% of the property value	1% of the property value	1% of the property value	1% of the property value	1% of the property value	1% of the property value

Stamp Duty and Registration Charges Mumbai: Determining Factors

Stamp duty and registration charges are the charges which everyone has to pay while buying any property, including lands, flats, residential or commercial properties. The Maharashtra Government also levies these fees while transferring the title of the property. Stamp duty and registration charges in Mumbai depend upon several factors like property type, property location, and market value,

• Property Type: Stamp duty and fees for the flat registration process in Mumbai are mandatory irrespective of the type of the property. However, the costs can be different based on the type of property. Commercial properties have additional floor space, many amenities, and security features than residential ones. So, the fees for the retail units are generally higher than the residential spaces.
• Type of the locality: the locality or jurisdiction of the property also determines the stamp duty and registration fees rate. For example, urban areas or the areas under a municipality have a higher amount of stamp duty tax. If your property is under a municipality, the tax will be higher than the land that falls under a Panchayat.
• Market value: Along with the property area, the property's market value is also taken into consideration while calculating the stamp duty on a particular property.
• Age of the property: Stamp duty tax is a percentage of the property's total market value. The old properties or buildings generally attract fewer customers leading to a low market value. Such old buildings attract more periodic charges in comparison to new installations.
• Gender of the owner: In India, female buyers generally pay less stamp duty tax while buying a new property. For example, in 2021, the Maharashtra Government announced a discount of 1% on stamp duty for female owners.

Are tax benefits applicable on stamp duty payments in Mumbai?

Expenses related to registration charges and stamp duty rate in Mumbai directly related to the transfer are eligible for a tax credit under Section 80C of the Income Tax Act 1961. The highest amount that can be deducted is Rs 1.5 lakh.

Home loan registration charges tax benefit

Section 80C allows you to deduct stamp duty, registration fees, and other expenses that are directly related to the transfer. The highest deduction amount that can be claimed under this section is Rs. 1,50,000.

Stamp duty and registration charges - Navi Mumbai

Listed below are the local body tax rates -

Gender	Stamp Duty rates	Registration charges
Male	6% (Stamp duty 5% + Local Body Tax (LBT) 1%)	Properties < ₹30 lakh - ₹30,000.Properties > Rs 30 lakh - 1% of the property value.
Female	5% (Stamp duty 4% + Local Body Tax (LBT) 1%)	Properties < ₹30 lakh - ₹30,000.Properties > Rs 30 lakh - 1% of the property value.
Joint (Male + Female)	6% (Stamp duty 5% + Local Body Tax (LBT) 1%)	Properties < ₹30 lakh - ₹30,000.Properties > ₹30 lakh - 1% of the property value.
Joint (Male + Male)	6% (Stamp duty 5% + Local Body Tax (LBT) 1%)	Properties < ₹30 lakh - Rs 30,000.Properties > ₹30 lakh - 1% of the property value.
Joint (Female + Female)	5% (Stamp duty 4% + Local Body Tax (LBT) 1%)	Properties < ₹30 lakh - Rs 30,000.Properties > ₹30 lakh - 1% of the property value.

Stamp duty for a resale flat in Mumbai

If you buy a house in Mumbai that will be ready for possession in two years, you will pay2% stamp duty and 1% registration tax. The stamp duty on resale flat in Mumbai also remain the same.

Current Stamp Duty in Mumbai   

The latest stamp duty and registration charges in Mumbai vary across the region. The costs mainly depend upon the location of the properties. The price within the limits of the urban areas is 5% of the current market value of the property—this rate changes for the semi-urban and rural areas.

Areas	Stamp duty in Mumbai
Within Gram Panchayat limits	3% of the market value
Within the municipal limits of the urban areas	5% of the market value
Within the limits of municipal councils/ panchayats/ cantonments within MMRDA	4% of the market value

Stamp Duty Calculator in Mumbai

The stamp duty percentage in Mumbai is calculated depending on the property’s value, as mentioned in the buyer-seller agreement and the Ready Recon Rate. The state government prescribes a ready Recon Rate for an area. It is a minimum rate below which you cannot buy or sell a property on a particular site. Therefore, the Ready Recon Rate of an area determines the minimum market value of a property. Stamp duty is a percentage of the market value of the property. For property within the municipal limits of the urban areas in Mumbai, the stamp duty is 5% of the property value.

Let’s understand this with an example. Suppose the Ready Recon Rate for the flats in the Worli area is RS 75,000 per sq. m., the minimum value of a 1,000 sq. m flat in the Worli area has to be RS 7,50,00,000. Now the stamp duty on this transaction would be 5% of RS 7,50,00,000 i.e Rs 37,50,000.        

Property Registration Charges in Mumbai

The Maharashtra Government charges a fixed amount of RS 30,000 if the retail value of a property is above Rs 30 lakh. However, if the property costs below Rs 30 lakh, the registration charge is 1% of the property value.

Calculating Registration Charges for Flat in Mumbai

If you’re planning to buy a flat in Mumbai, it’s important to be aware of the various charges that come with it. One such charge is the flat registration charges in Mumbai. The registration charges are a fee that is paid to the government for registering the property in your name.

The property registration charges Mumbai depend on the value of the property. In Mumbai, the registration charges are 1% of the property value. For instance, if the property value is Rs. 50 lakhs, the registration charges would be Rs. 50,000.

To calculate and pay the flat registration charges in Mumbai, you need to follow these steps:

• Calculate the value of the property.
• Multiply the property value with the registration fees in Mumbai, which is currently 1%.
• Pay the amount online or at the sub-registrar's office.

Depending on the property value, you have to calculate the stamp duty

Here is a simple example of how to calculate home registration charges in Mumbai. Someone is selling a residential flat for Rs 5,00,00,000. In this case, the registration fees will be Rs 30,000 as the land value is above Rs 30,00,000. If the value of a property is Rs 25,00,000, the fees to be paid for registration will be 1% of Rs 25,00,000 or Rs 25,000.

Stamp Duty and Registration Charges for Resale Flat in Mumbai

India Stamp Act, 1899 makes it mandatory for buyers to pay the stamp duty and registration charges on any property transactions. Every sales deed must be registered. Whether it is an upcoming project or a resalable flat, you have to pay stamp duty tax and registration fees. This rule applies to every state in India. In Mumbai, the charges are determined according to the Maharashtra Stamp Act, 1958.

The stamp duty charges for the under-construction or resalable properties within the urban areas are 5% on the property's market value from 1st April 2021. The registration charges are Rs 30,000 if the property value is above Rs 30 lakh and 1% of the property value if the worth of the property is under Rs 30 lakh. However, the resalable properties enjoy relaxation in GST. 

No GST is charged upon the ready-to-move-in flats at the time of purchase.

Stamp Duty and Registration Charges in Maharashtra: Comparison of Rates Across Cities

The stamp duty and registration charges in Maharashtra vary across cities. Here’s a comparison of the rates in some of the major cities:

City	Stamp Duty	Registration Charges
Mumbai	6%	1% of property value
Pune	5%	1% of property value
Nagpur	5%	1% of property value
Nashik	5%	1% of property value

It’s important to note that the stamp duty rates in Maharashtra are different for men and women. Men are charged 5% while women are charged 4%. Additionally, there are different stamp duty rates for different types of properties, such as residential and commercial.

Gift Deed Stamp Duty Mumbai

As per Article 34 of the Maharashtra Stamp Act that has been amended in the year 2017, a gift deed stamp duty is 3% of the property’s value. That said, if the property is an agricultural or residential one that is gifted to family members, the gift deed stamp duty, in this case, becomes Rs. 200.

Online Payment of Stamp Duty on a Property in Mumbai

The Maharashtra Government has recently amended the Maharashtra Stamp Act and introduced e-payment of the stamp duty & registration charges in Mumbai. This has made paying the stamp duty and registration fees simple for home buyers. The whole procedure is easy to execute and less time-consuming.

• Visit the official portal of the Maharashtra Government's Department of Registration and Stamps.
• If you are a registered user, fill in the required log-in information.
• If you are not a registered user, then choose "Pay without Registration."

• Upon choosing "Pay without Registration, the portal will redirect you to another page. Here, you have to choose "Citizen" and select the type of transaction you want to execute to proceed further.
• Click on the "Make Payment to Register Your Document" tab. Pay your stamp duty and registration charges together or separately. Fill in all the required details carefully.
• Choose the payment option and save the challan for future use. You have to present this challan at the time of executing the instruments.

Stamp Duty and Registration Charges: Notice of Intimation Charges

If you're planning to purchase a property in Maharashtra, you must be aware of the stamp duty and registration charges. One of the significant components of these charges is the Notice of Intimation (NOI) fee. The NOI is a mandatory registration of property with the government, which is a necessary step for obtaining ownership rights.

At NoBroker, we understand the intricacies of the property buying process and offer legal services to assist you in navigating it. Here's what you need to know about the NOI charges:

• The NOI fee is 1% of the property's total value or Rs. 30,000, whichever is less.
• The registration process includes the submission of documents such as property card, NOC, and the agreement between the buyer and the seller.
• If the property has any pending dues, the NOI fee must be paid after clearing the dues.
• Failure to register the property within four months of its purchase may result in additional fees.

To ensure a smooth registration process, consider availing NoBroker's legal services. Our team of experts can help you understand the nuances of the registration process and ensure a hassle-free experience.

Stamp Duty Refund Process in Mumbai

In case a property deal is cancelled or called off for some reason, you may be eligible to get a refund of the stamp duty if you claim within a limitation period of 6 months. You get the stamp duty refund after a deduction of 10% of the total amount of the duty paid. However, the deduction is INR 1000 per challan if the refund is done through an e-payment process. In terms of the information to submit for the stamp duty refund process in Mumbai, in addition to the filled application, you also need to attach the original agreement and the cancellation deed, given both the documents are registered. Or else, you will not get a refund of the registration charges.

That said, the government has started a convenient and accessible online stamp duty refund process in Mumbai. You can download the refund application form from the government website at https://www.igrmaharashtra.gov.in/SB_ACTIVITES/activites_StampDutyRefund.aspx

Information to be filled online for stamp duty refund

• The applicants can fill in the refund form anytime on the official website of the Maharashtra Government's Department of Registration and Stamp.
• After filling up the application form, the applicant must download the acknowledgement form and submit all the documents to the Collector of Stamps Office.
• Applicants can see the progression status online.

The online process for the same is also simple. Note that you will also have to submit the physical refund application to the concerned office. To apply online, all you need to do is:

• Visit the official website of the Department of Registration & Stamps at https://appl2igr.maharashtra.gov.in/refund/
• click on ‘new entry’ after checking the box on understanding the instructions of the application’s physical submission along with the online submission

• Your 11-digit Refund Token no. will be generated which you need to note down.
• In the same page you need to create and confirm the new password, and hit submit

• Here you can already get a filled up old data or fill them fresh from scratch including your individual details and address.

After this submission and physically submitting the application, you will also be able to use your refund token no and password to view the status or modify any details.

Here are the grounds on which one can claim a refund of the stamp duty in Mumbai:

• If one had paid excess stamp duty
• In the cases of unused or spoiled stamp papers
• Cancellation of a document
• If the court orders for a stamp duty refund
• If the amount is deducted more than once for the same challan
• Cancellation of the agreement
• If the stamp duty is paid to different departments or heads

Stamp Duty in Mumbai Latest News

• In March 2021, the Maharashtra Government restored the 5% stamp duty on property registration.
• On 8th March 2021, the Government announced a 1% concession on stamp duty for female owners. This concession is not applicable if there is a male co-owner.
• The refund claim period has been increased from six months to two years from the cancellation date.

Do you Need to Pay Stamp Duty on Past Property Documents?

It is possible that the Collector can recall your property documents as per the Maharashtra Stamp Act to verify if the stamp duty paid is correct. However, this can only be done if the time frame is within 10 years from the date of registration. If collected within the 10-year time period, it will be calculated on the basis of the prevalent or past market rate when the transaction was completed. Furthermore, as per a recent ruling, the Bombay High Court has also stated that the stamp duty on documents that are inadequately stamped, will not be collected at the time of a sale.

Mumbai Property Registration Charges: How to Save Money

Buying a property in Mumbai can be an expensive affair, with high stamp duty and registration charges. However, there are ways to save money on these charges. One such way is to opt for joint ownership.

In the case of joint ownership, the stamp duty and registration charges are split between the owners. For instance, if the property value is Rs. 50 lakhs and two people are joint owners, the stamp duty and registration charges would be calculated on Rs. 25 lakhs each, which would result in a lower overall cost.

It’s important to note that the stamp duty on flat purchase in Mumbai would still be applicable at the prevailing rate, which is currently 6%. However, opting for joint ownership can help you save money on the registration charges.

Another way to save money on Mumbai property registration charges is to take advantage of the amnesty scheme announced by the Maharashtra government. Under this scheme, homebuyers can get a waiver of up to 50% on stamp duty and registration charges for properties purchased between April 1, 2023, and March 31, 2024.

At NoBroker, we understand the importance of saving money in the home-buying process. Our legal services can assist you in exploring all possible options and ensuring a cost-effective transaction.

Stamp Duty and Registration Charges in Maharashtra 2023: Amnesty Scheme

Maharashtra is one of the top states in India when it comes to real estate. However, the high stamp duty and registration charges can often make it difficult for people to buy properties. To provide relief to homebuyers, the Maharashtra government has announced an amnesty scheme for stamp duty and registration charges.

Under the scheme, homebuyers can get a waiver of up to 50% on stamp duty and registration charges for properties purchased between April 1, 2023, and March 31, 2024. The waiver is applicable to properties with a value of up to Rs. 50 lakhs.

The current stamp duty rates in Maharashtra are 5% for men and 4% for women, and the registration fees in Maharashtra are 1% of the property value. In Mumbai, the stamp duty and registration charges are even higher, with a stamp duty of 6% and registration fees of 1% of the property value.

At NoBroker, we understand the importance of these charges in the home-buying process. Our legal services can assist you in availing the amnesty scheme and ensuring a smooth transaction.

Be Aware of legal Potholes

Thoroughly consider all aspects that revolve around the property purchase decision. The cost of stamp duty and registration charges in Mumbai should also be kept in mind while you calculate the cost of your home or how much you will need to borrow as a home loan. Click below if you have any legal issues with Stamp Duty in Mumbai and contact our team for help.

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