In addition to this, there is 10 per cent cess and 2 per cent surcharge on stamp duty. In total, a buyer is liable to pay 5.6 per cent stamp duty in urban areas. In areas under Village Panchayat, the surcharge is 3 per cent and thus the stamp duty value is 5.65 per cent.
While stamp duty tax is levied by the state governments on the property, basis its market value, registration value is levied for registration of documents under Registration Act, 1908. These charges, although compulsory, vary from state to state depending upon city laws.
- For multi-storey apartments, the super built-up area is considered for calculation
- For plots, the sq ft area of the plot is multiplied by the prevailing guideline value of that area
- For independent houses, the total constructed area is considered
These charges, are mostly dependent upon the prevailing market rate of the property, expansion of city limits and property market performance.