Different Taxes that a buyer has to pay for buying a Resale Property in Mumbai(Kandivali)

Q: Hi .

Wanted to know the different types of taxes a buyer has to pay while buying a resale flat in Mumbai ( Kandivali-W)

Have listed down few ...

1) 5% stamp duty
2) Registration fee of 1%
3) Transfer fee
4) Local body tax of 1%
5) Service tax of 3% ( not applicable for resale )
6) MVAT of 1%( not applicable for resale )

Can anybody confirm on the same

Mahesh, Mumbai

21st January 2016

Property Tax in Kandivali West, Mumbai

buying a resale flat

buying a resale property

multiple taxes for resale flat

resale property in mumbai

different taxes for resale flat

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Replies (2)

Hi all,
Resale might require dealing with some mandatory expenses like registration fees, stamp charges, transfer fees, utility transfer fees and real-estate agent fees among many others.

Apurva Nagpal, Pune

21st January 2016

Comment

Yes, and sometimes, the previous owner may not have cleared the dues with the society or building management, which would need to be deal out by the new owners.The other charges might include minor expenses allotted towards home makeover, parking/security charges, society membership fees and a couple of other overheads.

Dayananda, Mumbai

21st January 2016

Hi Mahesh,
The real estate industry is one of the most heavily taxed industries in the country. Property Purchase Taxes in India, both those paid directly by the home buyer while buying a property as well as those paid by the developer during construction constitute nearly 35% to 45% of the cost of the property.

Himani,

21st January 2016

Comment

Apart from that, a buyer is to deduct a TDS of 1% on the total purchase value of 50 Lacs including Service Tax.
The TDS deductions would required to be deposited in the Central Government Account via s Challan Form (Form No.26Q) within 7 days from the date of deduction is made. Delayed payments deposit in the Government account would be subject to interest payments.

Dayananda, Mumbai

21st January 2016