Hi friends!!! Have you heard the latest updates on property tax in Maharashtra? Stamp duty hiked by 1% in Nagpur Metro Rail corridor by the urban development department.
Right Hitesh........the Urban Development Department has finally cleared the proposal yesterday to increase stamp duty by 1% in Metro Rail corridor. The corridor is the area lying within 500 metres on both sides of the Metro track. The duty will now be 7.5% instead of 6.5%. The 1% registration charge (maximum Rs.30000) will remain unchanged. The stamp duty in the city except the area under Metro corridor will remain at 6.5%.
Hi Ak and Sanin Sir, I agree with you all. And this rise RR rate rise will increase the property prices in Maharashtra but at the same time, in a major relief to the distressed small and marginal farmers, Maharashtra Chief Minister Devendra Fadnavis has announced a waiver in stamp duty and registration charges for crop and term loans up to Rs 2.5 lakh for the year 2016-17 in view of bitter drought condition in the state.
Hi folks, The ready reckoner rates for 2016-17, applicable from April 1st 2016 to 31st March 2017. And the areas where these rates are increased are Mumbai-7%, Thane-6%, Navi Mumbai-4%, Mira Bhayandar-4%, Vasai-Virar-3%, Pune-6%, Nagpur-3% and Aurangabad-4.99%.
@Hitesh, But this time Mumbai builders had urged the government to postpone it as the real estate market was stagnant. As per the developers people are preferring to lease out properties. Today's RR rate for Nariman Point is over Rs. 48000/sq-ft.when the market rate for office premises is in the range of Rs.26000-32000/sq-ft. Many companies have moved to BKC, whic has emerged as the premier central business district. This rate will surely kill the market of Nariman point.
Hi Everybody, Do you know that Maharashtra Govt. has increased the the ready reckoner rates for Mumbai and rest of the Maharashtra by an average 7-8%. The rates used for property valuation have been increased by 7% for Navi Mumbai while for Pune the average hike is 6%.
Hi Hitesh!! I know development is going all around the Maharashtra and the taxes collected by the MAharashtra Govt. expend on infrastructure of the city. But homebuyers in Maharashtra already struggling with unaffordable prices and now this RR hike would result in homebuyers paying more stamp duty. Apart from this, developers also usually pass on increases in project expenditures to consumers.
You are right sir. But the government usually revises these rates every year. In 2014, these rates were increased by up to 22% following a 27% hike in 2013.
I know that various levies in charges, including premium for floor space index and development charges paid by builders are calculated based on ready reckoner rates. Any rise in these levies would increase a project's cost. Which developers would try to recover from customers.
Hi Rakshit, If property having tenants is sold then, while valuing such property the following points are to be taken care of:- 1) what is the area of property that can be built on that plot as per prevailing F.S.I? 2) Calculate the total area under the possession of tenant, 3) calculate the monthly rent from the tenant, 4) to see the balance portion which is not under the tenants, its type of construction, age, area etc.
Hi All, Be careful, if you did not pay you stamp duty on time, you have to pay penalty for it. Now the penalty on deficit amount of Stamp Duty shall attract 4% per month (4 times) as per newly amendment of section 31, sub section (4) However, maximum penalty can be only 4 times of the deficit amount of the stamp duty. This amendment has come into force from 24.04.2015. Prior penalty was 2%/month (2 times of the stamp duty amount)
Hi Rakshit, Do you know that Municipal Corporation of Greater Mumbai (MCGM) is discussing the proposal with Indian Green Building Council that envisages a discount on property tax paid by developers and residents, and aims to boost demand for eco-friendly and energy conserving structures.
True Mansoor, Certified green buildings in Mumbai could soon get up to 20% discount on property tax as per a proposal being considered by the municipal corporation to incentivise environment friendly buildings.
It is very convenient to make payment of Stamp duty and registration charges through online , no need to visit registration offices. you can visit http://igrmaharashtra.gov.in/ to make payment .
Hello Everyone, The stamp duty and registration charges have been revised in March 2014. In Maharashtra the Stamp Duty within Municipal Corporation Boundary is 5%, within Municipal Council Boundary is 4% and within Gram Panchayat Boundary is 3% whereas the Registration Fees is 1% for all.
Good Morning Shrikant, The Maharashtra Govt. had made provision in the Maharashtra Municipal Corporation Act. The Urban Development Department issued a notification on 13th March, 2013 directing the department of registration and stamps to recover 1% LBT additional to stamp duty to the civic bodies of Nagpur, Pune, Thane, Pimpri Chinchwad and Navi Mumbai on such documents like Sale Deed, Mortgage, Deed etc.
Stamp Duty is 5% + 1% LBT equal to 6% on market value or on the Agreement Value for Sale Deed/Agreement for sale whichever is higher.