It should be remembered that, unlike most developed, developing and even underdeveloped countries in the world, stamp duty is relatively high in India. In most countries, stamp duty rates are currently below 5%, while in almost all major countries in India they are higher than these. For leases of 11 months or less, no certification is required. For leases established for one year or more, registration (no certification) is recommended. This is a precautionary measure reluctant to fraud, which proves that the companies mentioned in the contract are the ones that actually signed it and that the agreement is not a falsified or falsified agreement. The government levies a tax when there is a property transaction (i.e. when a property changes ownership, from seller to buyer). This tax is called stamp duty. It will apply to residential and commercial real estate as well as real estate or rental real estate. Stamp duty is levied by states, so the rate varies from state to state. The tax is therefore called because the stamp on the documents indicates that the document has accepted the consent of the authorities and that it now has legal validity. Amit rented his apartment in Vikas for rent.
He made the agreement on the stamp paper of value. But he did not record it in the lower house. The agreement was signed by both parties. For the first 4 months, Vikas paid the rent correctly. the rent was set at Rs 5000. After four months, Vikas ended the rent payment. Amit went to the Court of Justice. Although his consent was duly paid, the court refused to accept the act as evidence. Vikas claimed that the rent was only 1500, not 3,500/, as Amit claimed. He also refused to sign the deed and totally denied entering into an agreement with the owner. As the document was not recorded, it could never be used as evidence and, for lack of evidence, Amit lost the fight. The Real Estate Fraternity has also called for affordable housing to be exempt from stamp duty.
In this case, buyers in this segment can save a considerable amount. Sometimes developers agree to bear the cost of stamp duty and registration fees. However, you should be careful not to be subjected to an indirect burden.