Tenants to pay 0.25% stamp duty on rent, deposit amount

The state government has decided to rationalise stamp duty charges by proposing a standard 0.25% on the total sum of the leave and licence agreement and deposit amount.

Ajit Pawar, deputy chief minister and state finance minister, said, “Imposition of 0.25% stamp duty will bring about uniformity. At present, stamp duty rates are different in different cities and states.”

This means, if the value of leave and license is less than Rs3 lakh, then the tenant had to pay Rs1,000 as stamp duty and Rs1,000 for registration. “Now, for this same Rs3 lakh leave and license amount, tenants will have to shell out Rs7,500 for the stamp duty and registration, respectively,” said agent from Thane.

Manohar Shroff, managing director of Shivam Builders, said, “The cost of houses in Mumbai and peripheral areas is already high. Now staying on rent will be an expensive affair too.”

However, in Navi Mumbai this amount will be lesser. “In Navi Mumbai particularly Vashi, stamp duty charges is 10%. If the government has made it 0.25% on the sum on an rented agreement and non-refundable deposit, then it is welcome move. It will give a sigh of relief to several people in the metropolis who mostly stay in rent houses,” said Atul Nemade, a real estate agent.

“The government has done the right thing by bringing about uniformity in the stamp duty and registration charges. Moreover, this will add to the state government’s revenue,” said Nemade.

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