Stamp Duty and Registration Charges in Karnataka 2022-23

In Karnataka, stamp duty rates are determined by property valuations. The stamp duty rate is 3% for properties valued at INR 45 lakh, 2% for properties valued below INR 20 lakh, and 5% for properties valued at over INR 45 lakh. Additionally, there is a 1% registration charge.

In specific areas like BBMP, BMRDA, and villages, an additional cess of 10% of the stamp duty is applicable. BMRDA and other surcharges amount to 3% of the stamp duty, while surcharges for BBMP and Corporation are set at 2% of the stamp duty.

When entering into agreements for selling properties with possession, there is a fee of 5% of the current market price. For properties without possession, the charge is 0.1% of the market price, with a minimum of INR 500 and a maximum of INR 20,000. Agreements related to title deed deposits incur a fee of 0.1% of the property's market price.

Latest Update on Stamp and Registration Charges in Karnataka (2023)

In Karnataka, stamp duty rates are determined by property valuations. As of 2023, the stamp duty rates are as follows:

3%: For properties valued at INR 45 lakh or less.
5%: For properties valued at over INR 45 lakh.
1%: Registration charge applicable in all cases.

Additionally, certain areas like BBMP, BMRDA, and villages may have additional cess and surcharges:

10%: Cess on the stamp duty in specific areas.
3%: Surcharges for BMRDA and other designated regions.
2%: Surcharges for BBMP and Corporation areas.

When entering into agreements for selling properties with possession, there is a fee of 5% of the current market price. For properties without possession, the charge is 0.1% of the market price, with a minimum of INR 500 and a maximum of INR 20,000. Agreements related to title deed deposits incur a fee of 0.1% of the property's market price.

Factors Involved in the Calculation of Stamp Duty in Karnataka

Before buying a property in Bangalore it is important to understand the factors influencing stamp duty in Karnataka. The calculation is based on the property value or consideration amount, whichever is higher. Various factors can influence the stamp duty calculation:

Property Age: Older properties tend to have lower prices.
Buyer’s Age: Senior citizens may qualify for lower stamp duty rates.
Owner’s Gender: In some states, women pay lower stamp duty, but in Bangalore and Karnataka, the charges are the same for all genders.
Property’s Nature: Commercial properties generally have higher stamp duty rates.
Property’s Location: Urban properties often have higher stamp duty.
Services and Amenities: Properties with more amenities may incur higher stamp duty.

Understanding these factors is essential for accurately estimating the liability of stamp duty in Karnataka.

How to pay Stamp Duty in Karnataka

To pay Stamp Duty and Registration Charges in Karnataka online, follow these steps:

Visit the Khajane-2 or K2 website and click on 'Generate Challan'
Fill in the relevant details, such as an address, email ID, and contact number. Select the property location, rural or urban.
Next, choose the Stamp and Registration department type and select the sub-registrar office in the DDO office section. Indicate the purpose as stamp duty and sub-purpose as an agreement for the sale of immovable property.
Enter the Stamp Duty amount, select the payment mode, and submit the form
The system will generate a challan number, which is valid for 90 days. Complete the property registration process at the sub-registrar office within this period.

How is Stamp Duty Calculated in Karnataka?

Stamp Duty is calculated based on the property value or consideration amount, whichever is higher. The rates, which vary depending on the property type and transaction, are applied as a percentage of the property value.

Since Stamp Duty varies according to the owner’s age and gender along with the property’s location, age and amenities, be aware of these details before you proceed.

In Karnataka, the Integrated Grievance Redressal System (IGRS Karnataka) and the Stock Holding Corporation of India Limited (SHCIL) play pivotal roles in streamlining property transactions and ensuring compliance with Stamp Duty and Registration Charges. These platforms, including Karnataka IGR, offer convenient solutions for property documentation and stamp duty payments, enhancing transparency and efficiency in the process.

Frequently asked questions

1. What are the tax benefits of stamp duty and registration charges in Karnataka?

Ans: Under Section 80C of the Income Tax Act 1961, you can get tax benefits of up to INR 1,50,000 on Stamp Duty and Registration Charges.

2. What are the stamp duty rates in Karnataka?

Ans: Stamp duty rates in Karnataka vary based on property value:

3%: Properties valued up to INR 45 lakh
5%: Properties valued over INR 45 lakh

Understanding these rates is essential for budgeting property transactions in Karnataka. Stay informed about Stamp Duty and Registration Charges in Karnataka to navigate property transactions effectively in 2023.

Stamp Duty Karnataka: Calculator and Payment Procedure

Contents

Categories

Recent Blogs