State Government Fixed Rs. 1,000 as a Stamp Duty in the self Redevelopment Projects

State Government Fixed Rs. 1000 as a Stamp Duty in the Self-Redevelopment Projects

The Maharastra government decided to fix the stamp duty to enhance self-redevelopment projects. Earlier, this amount was 5-7% of the entire property agreement value.

On Friday (14th July 2023) Maharashtra government issued a guideline stating that the owner must pay Rs. 1000 as stamp duty for any self-redevelopment in their property. The government has also clarified that if any home buyer gets apartments from the open market in self-redeveloped projects, the stamp duty amount will be according to the market rate.

The Director of the State Housing Federation, Advocate ShreePrasad Parab, said, “Flat owners in such projects were made to pay around 5-7% of the market value depending on the city and the district as stamp duty, which has now been reduced to just Rs1,000”.

He also said that in cities like Mumbai, Pune and Thane, there is a high need for self-redevelopment of the old societies to provide affordable housing.

The Vice President of the State Housing Federation, Suhas Patwardhan, said, “The 2019 GR on self redevelopment had called for a single window system to clear such proposals too. This also should be in place along with the reduced stamp duty”.

However, the Consumer Organization Watchdog Foundation demanded to make the stamp duty for self-redevelopment projects be to Rs. 100. It also said that if the stamp duty is reduced to Rs. 100, several property owners will come in front for the redevelopment of their existing property.