Stamp Duty & Property Registration Charges in Karnataka

Disclaimer: This Article is for information purpose only. The views expressed in this Article do not necessarily constitute the views of Kotak Mahindra Bank Ltd. (“Bank”) or its employees. Bank make no warranty of any kind with respect to the completeness or accuracy of the material and articles contained in this Newsletter. The information contained in this Article is sourced from empaneled external experts for the benefit of the customers and it does not constitute legal advice from Kotak. Kotak, its directors, employees and the contributors shall not be responsible or liable for any damage or loss resulting from or arising due to reliance on or use of any information contained herein.
25 JUNE, 2021
While purchasing a residential or commercial property in Karnataka, you must have often heard the terms stamp duty and registration charges. As a buyer, you must pay these on the purchase of any property in the state. Stamp duty is a tax that you pay to the State government on the transfer of a property from the seller to the buyer. This charge differs in every State of India and is based on the market value of the property you buy. On paying the stamp duty, your documents are stamped and made legally valid. Whereas a registration charge is the fixed percentage that you need to pay to get the property registered in your name.
How Is Stamp Duty Calculated in Karnataka?
The stamp duty in Karnataka depends on several factors like age of the property, gender and age of the buyer, location, and type of the property, etc. But determining the actual stamp duty can be difficult by considering the above aspects. For simpler estimation, you can use the official online stamp duty calculator made available by the State government. Not only will you learn about the stamp duty charges applicable but also the surcharge and cess value. Follow the step-by-step procedure to calculate the stamp duty in Karnataka:
With this, you can successfully determine the tax applicable on your transaction. Go through the stamp duty applicable in Karnataka below:
Region
Stamp Duty Rate
Registration Charge
Karnataka
2% on properties less than Rs 20 Lakh
1%
3% on properties between Rs 21 Lakh and Rs 35 Lakh
3% on properties between Rs 35 Lakh and Rs 45 Lakh
Note: The stamp duty and registration charges in Karnataka are the same for men and women.
How to Pay Stamp Duty Charges in Karnataka?
You can pay the stamp duty in Karnataka with the help of e-stamping and franking. To stamp your property documents via franking, you must visit an authorised franking centre or bank. For completing the stamping process online, you need to visit the Stock Holding Corporation of India Limited (SHCIL) website. There you will find the option of e-stamping and paying the registration fees.
Property registration process in Karnataka
Frequently Asked Questions (FAQs)
Can you get a refund of the stamp duty paid in Karnataka?
Yes, you can get a refund on cancelling the e-stamp certificate in Karnataka.
Is it possible to claim tax benefits for stamp duty and registration charges in Karnataka?
Yes, you can claim tax benefits on the stamp duty and registration charges under Section 80C of the Income Tax Act.
What are the consequences of not paying the stamp duty charges?
A penalty will be levied on the stamp duty and the document could be impounded when presented to any public officer, if the document is not duly stamped.
Hence, one should be aware of the stamp duty and registration charges before applying for a home loan and buying a house in Karnataka.
Additional Read: Stamping and Franking Charges on Home Loans in India: Know the Difference?
You have already rated this article
OK