There’s a lot that goes into purchasing a property. Besides the valuation of the unit alone, there are fees like Stamp Duty and Registration Charges that one has to consider that inflate the value of the property. However, these charges exclude the selling price of the property and constitute additional payments.
Understanding Stamp Duty
Stamp Duty alone is a tax from the state government on the property before even the transaction has occurred. For Pune, the state government of Maharashtra decides the stamp duty charges. They come into play for sales deeds, conveyance deeds, lease deeds etc., and make the transaction official and legally binding. According to NoBroker, the stamp duty in Pune can range from 4% to 8% of the property value.
Understanding Registration Charges
Registration charges, on the other hand, are the fees paid for registering the property under the buyer’s name. This process provides legal sanctity to the property transaction. The registration charges in Pune typically range from 1% to 2% of the property value.
In Pune, the state government of Maharashtra enforces registration and stamp duty charges that are contingent upon specific factors:
Property type: The tax applicable to commercial properties exceeds that of residential homes.
Location: The property’s geographical location significantly influences the tax charges, with rural and semi-urban areas generally incurring lower stamp duty and registration charges in Pune.
Market value: The calculation of current stamp duty and registration charges considers both the total area and the property’s market value.
Owner’s age & gender: The government extends additional concessions based on the age and gender of the property owner. Senior citizens and women may qualify for subsidized stamp duty and registration charges as part of these concessions.
First-time home buyers: Individuals buying a home for the first time are eligible for a maximum of Rs. 2.5 lakh exemption on their stamp duty.
Ready reckoner rate: Also called a circular rate, the ready reckoner rate also influences the stamp duty calculation. These rates depend on the area and restrict the sale of a property below a specific amount.
If you are looking for properties in Pune, while considering the different scenarios at hand, the total cost, as seen for the year 2021-22, would include:
· Stamp duty – 4%
· Local Body Tax (LBT) – 1%
· Transport Surcharge – 1%
Registration Charges in Pune depend on the market value of the property. Assets that fall below Rs. 30 lakh incur a charge of 1% of the total value; whereas values exceeding Rs. 30 lakh attract a flat fee of Rs. 30,000.
While these discussed factors offer an overview to homebuyers on what they can expect to pay as taxes on their properties, the government still provides a more straightforward way to make calculations on your own. The Stamp Duty Calculator, provided by IGR Maharashtra, is one way to receive accurate numbers. Besides this, the government even offers an option to pay your Stamp Duty and Registration Fees online.
Just log on to https://gras.mahakosh.gov.in/igr/frmIndex.php and you will be directed to the respective payment pages.
Stamp Duty and Registration Fees for 2024
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For residences here, the stamp duty and registration expected for the year 2024 will be influenced by factors like whether the property is being intended as an investment or personal use, whether the buyer is a senior citizen or not, women have to pay 1% less stamp duty and also the location of the property. For more details on projects in Pune, please visit: https://www.joyvillehomes.com/celestia/
