Ram (B) 07 January 2015

Stamp duty registration

I am considering purchase of a villa, and the property is selling for higher than the guidance value specified by the Government. I informed the builder that I would only be able to make payment by cheque (i.e. no black).

They say that they would report the registration value at par with the guidance value, and the sale value at the higher value. The stamp duty would be on the registration value only. They say it is perfectly legal, and recognised by the government.

Is this correct? Please share your inputs. If so, what would be the implication when I sell the property in future?

Thank You.

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2 Replies

Manish (Proprietor) 07 January 2015

For registration of property the stampduty is to b paid as per ready recknor or agreement value whichever is higher.

Ram (B) 09 January 2015

Thanks for the replies. I came across the below links, which say that the stamp registration can be done for guidance value, and the remaining amount can be reported as DoToR, thus reducing the registration cost. Is this fully legal?

https://www.nitinbhatia.in/real-estate/how-to-save-stamp-duty-registration-charges/

https://www.nitinbhatia.in/real-estate/deed-of-transfer-of-rights/

Thank You.