Complete Guide to Stamp Duty in India

When you purchase a property in India, the cost does not end at the sale price. Stamp duty and registration charges add a significant amount to your total acquisition cost, typically ranging from 5% to 10% of the property value depending on the state. Understanding these charges is essential for budgeting your property purchase correctly. This guide covers stamp duty rates across all major Indian states, available exemptions, and how to calculate your total liability.

What is Stamp Duty?

Stamp duty is a tax levied by state governments on legal documents, primarily property transactions. It serves as evidence that the transaction is legally recognised. Payment of stamp duty makes the property document admissible as evidence in court. Without proper stamping, a property document has no legal validity and the transaction can be challenged.

State-Wise Stamp Duty Rates (2026)

Stamp duty rates vary significantly from state to state:

Major States and Rates

• Maharashtra: 5% in municipal areas (plus 1% metro cess in Mumbai, Pune, Nagpur). Women buyers get 1% concession in some areas. Registration: 1%.
• Delhi: 4% for women, 6% for men. Registration charges: 1%.
• Karnataka: 5% for properties above Rs 45 lakh, 3% for properties between Rs 21 lakh and Rs 45 lakh, 2% for properties up to Rs 20 lakh. Registration: 1%.
• Tamil Nadu: 7% (one of the highest in India). Registration: 4%. Total cost can reach 11% of the property value.
• Uttar Pradesh: 7% for men, 6% for women. Registration: 1%.
• Rajasthan: 5% for men, 4% for women. Registration: 1%.
• Gujarat: 4.9% in most areas. Registration: 1%.
• West Bengal: 6% to 7% depending on property value. Registration: 1%.
• Telangana: 4% in GHMC areas (Hyderabad). Registration: 0.5%.
• Kerala: 8% (among the highest). Registration: 2%.

Concessions for Women Buyers

Several states offer reduced stamp duty rates for women to encourage female property ownership:

• Delhi: Women pay 4% vs 6% for men, saving 2% on the property value.
• Haryana: Women pay 3% less than men in urban areas.
• Rajasthan: Women get a 1% concession.
• UP: Women pay 1% less than men.
• Punjab: Women pay 4% vs 6% for men.

This is why many families register properties in a woman family member's name to save on stamp duty. For a Rs 1 crore property, the savings can be Rs 1 to 2 lakh, which is substantial.

How Stamp Duty is Calculated

Stamp duty is calculated on the higher of the following two values:

• The actual transaction value (sale price agreed upon by buyer and seller).
• The circle rate or guidance value (minimum value set by the government for that area).

For example, if you buy a flat in Mumbai for Rs 80 lakh, but the circle rate is Rs 90 lakh, stamp duty will be calculated on Rs 90 lakh. You cannot understate the property value to save on stamp duty, as the government will use the higher of the two values.

Additional Charges to Consider

• Registration charges: Typically 1% of the property value (varies by state), paid over and above stamp duty.
• GST: 5% GST applies on under-construction properties (1% for affordable housing). No GST on ready-to-move-in properties or resale properties.
• TDS: If the property value exceeds Rs 50 lakh, the buyer must deduct 1% TDS and deposit it with the government.
• Brokerage: Typically 1% to 2% of the property value if a broker is involved.

Tips to Save on Stamp Duty

• Register in a woman's name: Take advantage of lower rates offered to women buyers in many states.
• Check for government schemes: Some states offer temporary reductions during festive seasons or to boost the real estate sector.
• Joint registration: In some states, stamp duty is lower when the property is registered jointly with a woman co-owner.
• Claim tax deduction: Stamp duty and registration charges paid can be claimed as deduction under Section 80C (up to Rs 1.5 lakh) in the year of purchase.
• Verify circle rates: Circle rates can vary even within the same city. Verify the exact circle rate for your locality before finalising the deal.

Calculate Your Stamp Duty

To know the exact stamp duty and registration charges for your property purchase, use our free Stamp Duty Calculator. Select your state, enter the property value, and get an instant breakdown of stamp duty, registration fees, and the total acquisition cost. Knowing these numbers upfront helps you budget correctly and avoid surprises during the registration process.