Indian Art (Others) 13 November 2009

Registration and Stamp Duty Calculation

Dear Forum Members,

I have booked a flat in Dombivali area. As Registration and Stamp is due in next few weeks as per builder information, I have few queries and i would request experts to give their opinion on it.

Amendment and certain changes are due in Maharashtra State Ownership of Flat Act (MOFA), Should i wait for the amendment?
Is there any possibility in Registration and Stamp Duty Rise?
Should i register my flat now or i can wait till Feb-March 2010?
If there are substantial changes in MOFA, where there will be any effect on my agreement if i'll register now (before amendment)?
Can i register my flat again after amendments? If yes what will the charges for that.

I'll wait for your valuable opinion and feedback.

Thanks.

Ashish

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2 Replies

Vineet (Director) 16 November 2009

Amendments in MOFA will not effect stamp duty charges.

Normally ready reckoner rates for valuation of properties in Mumbai are revised and effected from January. So the expenses on account of stamp duty may increase after January if the agreement price is less then the ready reckoner value.

Further, from Income Tax purposes also, if the purchase/ agreement price is less than the registrar valuation, the difference amount shall be treated as deemed gift in your hand and included in your taxable income.

So, it is suggested to register the property at the earliest, provided you have some other issues.