Stamp Duty and Registration Charges in Uttar Pradesh: A Comprehensive Guide

When buying property in Uttar Pradesh, one of the most crucial aspects to consider is the stamp duty and registration charges. These charges are mandatory and form a significant part of the overall cost of property ownership. Understanding these fees is essential for financial planning and ensuring a smooth property transaction.

What is Stamp Duty?

Stamp duty is a tax levied by the state government on legal documents, typically required for the sale or transfer of property. It acts as legal evidence of the ownership or transfer of property. In Uttar Pradesh, stamp duty is calculated based on the property’s market value or the agreement value, whichever is higher.

What is Stamp Duty in Uttar Pradesh?

Stamp duty in Uttar Pradesh is a tax imposed by the state government on legal documents related to the transfer or sale of property. It is a mandatory charge that acts as legal evidence of the transaction and ownership. The amount of stamp duty is typically calculated based on the property’s market value or the agreement value, whichever is higher.

What is the Registration Fee?

The registration fee is a government charge paid to register the property in the buyer’s name with the Sub-Registrar of Assurances. This fee ensures that the property transaction is legally recorded and that the buyer’s ownership is recognised by law.

Latest Information on Uttar Pradesh’s Stamp Duty and Registration Fees

The Uttar Pradesh government of Yogi Adityanath has made a big move by lowering stamp duty on property transfers between blood relations. This decision, which was authorised on August 4, 2023, during a recent cabinet meeting, intends to lessen the financial strain that residents have while handling property transfers involving family members. A reduced stamp fee of just Rs. 5,000 will be applicable to a range of deeds, such as gift deeds, partition letters, and memorandums of agreement or family arrangements, which are mainly intended to ensure the fair sharing of family assets among members of the same family.

This decision comes after a comparable clause that exempted citizens from paying stamp duty—which could have amounted to up to 7% of the property’s value—expired in December of the previous year, saving them a significant amount of money. The idea to prolong this exemption until further orders has also received support from the cabinet meeting, but with minor modifications. The Stamp and Registration Department will formally notify the exemption for deeds linked to the transfer of immovable assets through a notification in order to execute this adjustment. It is anticipated that this stamp duty cut will lessen family property conflicts and possibly increase job prospects.

What is Stamp Duty Charged on Property in Uttar Pradesh?

Stamp duty and registration costs are essential for real estate transactions in Uttar Pradesh. When stamp duty is paid correctly, land transactions are legally recorded and papers are admissible as evidence in court. Documents that are incorrectly stamped are not admissible in court.

As per Section 17 of the Uttar Pradesh Registration Act, 1908, for property transactions above Rs. 100, payment of these fees is mandatory. It registers the property in the buyer’s name and identifies them as the property’s owner. Typically, stamp duty and registration fees in Uttar Pradesh are 5-7% and 1% of the property’s market value, respectively. These amounts are different from those in other states.

Current Stamp Duty Rates in Uttar Pradesh

The stamp duty rates in Uttar Pradesh vary based on the type of property, location, and gender of the buyer. As of 2024, the stamp duty rates are as follows:

Gender	Stamp Duty	Registration Charges
Male	7%	1%
Female	6%*	1% (rebate of 10,000 on final amount)
Joint (Male + Female)	6.5%	1% (rebate of 5,000 on final amount)
Joint (Male + Male)	7%	1%
Joint (Female + Female)	6%	1% (rebate of 10,000 on final amount)

*Note – The reduction in stamp duty for women homeowners is applicable only up to Rs 10 lakhs out of the total value of the transaction.

Benefits of Paying Stamp Duty and Registration Charges

Paying stamp duty in Uttar Pradesh offers several benefits, both legally and financially. Here are the key advantages:

1. Legal Validity and Proof of Ownership

• Legal Recognition: 

Paying stamp duty ensures that the property transaction is legally recognised by the government. This provides the buyer with official proof of ownership.

• Enforceability: 

A document on which stamp duty has been paid is considered legally valid in court. In case of disputes, the document can be used as evidence to establish ownership rights.

• Protection from Future Claims: 

Registered documents serve as legal proof of ownership, protecting you from future disputes.

• Eligibility for Loans: 

Registered property is considered as collateral for availing loans.

2. Protection from Legal Disputes

• Clear Title: 

Proper payment of stamp duty helps in securing a clear title to the property. This minimises the risk of future legal disputes or claims over the property.

• Prevention of Fraud: 

The registration process, which includes payment of stamp duty, reduces the chances of fraudulent property transactions, ensuring that the buyer is the legitimate owner.

3. Eligibility for Loans and Financing

• Loan Approval: 

Financial institutions, including banks, often require the property to be registered and stamp duty paid before approving a loan. Registered property is considered valid collateral for home loans or other financing options.

• Resale Value: 

Properly documented and registered property with paid stamp duty often has a higher resale value, as buyers and investors prefer properties with clear legal standing.

4. Government Revenue and Public Services

• State Revenue: 

Stamp duty is a significant source of revenue for the state government, contributing to public services and infrastructure development. By paying stamp duty, property buyers indirectly support the state’s economy.

• Social Welfare Programs: 

Revenue from stamp duty is often used by the government to fund social welfare programs, education, healthcare, and public utilities, benefiting the community at large.

5. Reduction in Future Penalties

• Avoidance of Penalties: 

Timely payment of stamp duty helps avoid penalties or fines that may be imposed for late payment or evasion. This ensures a smooth and hassle-free property transaction process.

• Compliance with Legal Requirements: 

Paying stamp duty on time ensures compliance with legal obligations, avoiding any complications or delays in property registration.

6. Legal Security for Future Transactions

• Ease of Future Transactions: 

When stamp duty is paid and the property is registered, it simplifies future transactions such as resale, inheritance, or transfer of ownership. The legal documentation is already in place, making the process quicker and smoother.

• Trust and Transparency: 

Paying stamp duty adds transparency to the transaction, increasing trust between the parties involved. This is especially important in real estate deals, where trust and clear documentation are key.

7. Peace of Mind

• Secure Investment: 

Knowing that all legal requirements, including stamp duty, have been fulfilled provides peace of mind to the property owner. This security is invaluable, particularly in real estate, where investments are significant.

Rates of UP Stamp Duty on Various Deeds in 2024

The Uttar Pradesh State government charges stamp duty on a variety of deed registrations in addition to property registration. The following common deeds in Uttar Pradesh are listed with the corresponding stamp duty charges:

Deeds Documents	Stamp Duty Charges
Gift deed	Rs 60-125
Will deed	Rs 200
Exchange deed	3% of the Transaction Value
Lease deed	Rs 200
Agreement deed	Rs 10
Adoption deed	Rs 100
Divorce deed	Rs 50
Bond	Rs 200
Affidavit	Rs 10
Notary document	Rs 10
Special Power of Attorney (SPA)	Rs 100
General Power of Attorney (GPA)	Rs 10-100

Factors That Affect Stamp Duty And Registration Charges In Uttar Pradesh

The following variables affect the stamp duty rates:

• Gender of the owner under individual ownership: Stamp duty is levied at a rate of 6% on properties owned by women and 7% on properties owned by men.
• Owners’ gender in a joint venture
• Registry Fees in UP for Women: A 6% stamp duty would be applied to any property owned by two women.
• Stamp Duty in UP for Men: There would be a 7% stamp duty on property that is owned by two men.
• Stamp duty on property owned by a single woman and one man would be 6.50%.
• Buyer’s Gender and Age: Senior citizens typically qualify for a special stamp fee discount from state governments. Women are given a break on these fees as well. In Uttar Pradesh, for example, women are required to pay a 6% stamp duty on properties that cost no more than Rs. 10 lakh.
• Property’s Location: Stamp duty rates in Uttar Pradesh also change based on where the property is located. For instance, the property will have more stamps if it is located in a municipal area.

In every instance, the registration fee would stay the same at 1% of the property’s value.

Registration Charges in Uttar Pradesh

The registration charge is typically a fixed percentage of the property’s market value. In Uttar Pradesh, the registration charge is 1% of the property’s market value, with a minimum and maximum cap depending on the property’s value.

Additional Charges

In addition to stamp duty and registration fees, there may be other charges associated with property transactions in Uttar Pradesh, such as:

• Mutation Fees: 

This fee is for updating the land records to reflect the new ownership.

• Legal Fees: 

Costs incurred for hiring a lawyer or legal expert to facilitate the transaction.

• Miscellaneous Charges: 

This includes administrative charges, service fees, and other minor expenses related to the registration process.

How to Pay Stamp Duty and Registration Charges in UP

In Uttar Pradesh, the payment of stamp duty and registration charges can be made online or offline. The process generally involves the following steps:

1. Valuation of Property: 

Determine the market value of the property through government-approved methods or valuation agencies.

2. Calculation of Duty: 

Based on the market value, calculate the applicable stamp duty and registration charges.

3. Payment: 

Pay the charges through authorised banks, online portals, or at the Sub-Registrar’s office.

4. Document Preparation: 

Prepare the sale deed or transfer document duly signed by both parties.

5. Registration: 

Submit the documents along with the payment receipt at the Sub-Registrar’s office for registration.

How Do Stamp Duty and Registration Fees Get Calculated in Uttar Pradesh (UP)?

Let’s use the following example to show how stamp duty and registration fees are calculated in the United Provinces:

Assume Mrs Kiran spent Rs. 60 lahks for a property in Lucknow, and she has to pay the necessary stamp duty and registration fees to get the property registered.

Stamp tax and registration fees in Uttar Pradesh are, respectively 7% and 1% of the transaction value. Consequently, the following would be the final calculation:

• 7% of Rs 60 lakh = Rs 4,20,000
• 1% of Rs 60 lakh = Rs 60,000
• Total Amount to be Paid = Rs 4,80,000

Legal and Illegal Stamp Duties

In Uttar Pradesh, there are two types of stamp duty charges: valid and unlawful duties. The stamp duty on a property agreement is considered a non-legal cost because it is a one-time expense, but legal stamp duties, also known as court fees, are the fees imposed on appellants in court. The majority of the state’s stamp duty revenue comes from the levy on transfers and sale deeds.

UP Stamp Duty Fees for Women

When registering properties, women in Uttar Pradesh and residents of several other states enjoy reduced stamp duty rates. In Uttar Pradesh, women can receive a reduction on these costs, but only to a limited extent. In Uttar Pradesh, women owners pay only 6% of the total registration costs and stamp duty, while male owners pay 7%. In Uttar Pradesh, however, stamp duty is equal for men and women if the property is worth more than 10 lakhs.

Property Value and Stamp Duty Laws in Uttar Pradesh

In order to get legal validity in the eyes of the law, the purchaser must register their sale achievement with the sub-office registrar in accordance with section 17 of the Uttar Pradesh Registration Act, 1908, if the transaction’s worth or cost exceeds INR 100.

In conclusion, the buyer needs to keep these three crucial factors in mind.

● Stamp duty rates differ from state to state.

● Buyers typically have to pay registration fees equal to 1% of the deal value.

● Stamp duty is essentially a tax imposed by the government on every transaction involving property that involves a transfer of ownership from the producer (seller) to the consumer (buyer). It is computed simply as a percentage of the transaction value.

UP Property Registration Fees

The state government of Uttar Pradesh raised the real estate stamp duty registration fees. The previous ceiling was set at Rs. 20,000 per transaction. The buyer would pay Rs. 60,000 as part of the registration fee if the asset’s deed was worth Rs. 70,000, but with the introduction of the new statement, the fees are now calculated at 1% of the sale price. 

Example for Calculating Stamp Duty Fees in Uttar Pradesh

Let’s say Rohit is spending Rs. 6,000 per square foot on a 900-square-foot home in a particular region. Consequently, the assessment of the property based on circle rates would be Rs. 54 lakhs. Given that the property is being recorded at the same price, the buyer will currently be required to pay 7% of this amount as stamp duty. This would bring the total to Rs. 3.78 lakhs.

The buyer is nevertheless obligated to pay the standard amount of 7% based on the annual rate, even though the property has actually been registered for a lower price. In the event that the buyer’s property has a registration price of 64 lac, stamp duty is paid at a rate of 7% of 64 lakhs.

How to Put in a Request for Uttar Pradesh to Remove Stamp Duty

The IGRSUP portal allows for the withdrawal of the paid stamp duty. A user can register online for stamp duty repayment via the IGRSUP portal (igrsup.gov.in). This is a step-by-step tutorial explaining how to use the IGRSUP portal to apply online for a stamp duty withdrawal.

Step 1: 

Access the official IGRSUP website by logging in.

Step 2: 

After logging into IGRSUP, select “Stamp Vaapsi Hetu Aavedan” (Revocation of stamp duty from IGRSUP). The screen that appears next will show up.

How to Pay Uttar Pradesh Property Stamp Duty Online

The state government of Uttar Pradesh has introduced a computerised system that has made the process of registering properties easier to navigate and more user-friendly. This technologically advanced method makes paying stamp duty easier, giving homebuyers a hassle-free experience. The following instructions will walk you through the process of paying stamp duty online:

Step-by-Step Guide to Online Stamp Duty Payment

• Access the Official Portal: 

To begin, go to the Uttar Pradesh Stamp and Registration Department’s official website. The main hub for all state services pertaining to property registration is this portal.

• Initiate the Process: 

Locate the “Property Registration” section on the homepage. The ‘Apply’ button is where you will locate the entry point to start the procedure.

• New Enrollment: 

Selecting “Apply” opens the “New Registration” option. If you choose this, a unique application number will be generated. This is important for monitoring your process and future references.

• Complete the Information: 

You will be taken to a form where you will need to enter the property’s details. Along with other important details, this covers the property’s size, location, and city.

• Stamp Duty Payment: 

The last step is to pay the stamp duty that applies to your property. In order to formalise your property transaction, this is a crucial legal step.

Verification is the next stage after these are finished and the stamp duty is paid. The uploaded documents will be examined by the Sub-Registrar Officer. The registration document will be prepared and made accessible for download by the applicant following a successful verification process.

The use of this digital process simplifies property transactions in Uttar Pradesh and increases buyer accessibility and transparency. This action is in line with the digital India vision and elevates efficiency and convenience in real estate transactions.

Stamp Duty Refund on IGRSUP

Step 1: Click the “Register” button if this is your first time using IGRSUP to apply for a stamp duty refund.

Step 2: Click the Sign in button after entering the necessary information, including your district, password, mobile number, and captcha code. In UP, you can now request a refund of stamp duty.

Step 3: Select the Pre-register tab if you have already registered on the portal.

Step 4: After entering your information (Password, Application ID, and Captcha Code), the stamp duty refund status in Uttar Pradesh will appear on the computer screen.

What Tax Benefits Are There In The UP For Stamp Duty And Registration Charges?

Everyone in the state of Uttar Pradesh is entitled to tax exemptions on registration fees and stamp duties under Section 80C of the Income Tax Act of 1961.

This law allows a tax deduction for joint owners. However, the maximum deduction amount is limited to ₹150,000.

Claims for individual deductions are only permitted for newly constructed properties.

The points above would simplify the process of paying stamp duty in Uttar Pradesh without any confusion. The terms and conditions are also available on the official website.

What Happens If the Registration Fees and Stamp Duty Are Not Paid?

A property purchase must comply with the Indian Stamp Act of 1899 and the Registration Act of 1908 (whose property is worth more than Rs 100). The home registry costs in UP will expire if these payments are not paid, and you will no longer be the property’s legal owner. There could also be a fine associated with that. The penalty may be as much as 200% of the outstanding balance or 2% every month.

In conclusion, stamp duty in the United Provinces is a mandatory tax that needs to be paid right away upon the sale of real estate. It is computed simply as a percentage of the transaction value. In addition to ensuring that the property is correctly registered in government records, paying the stamp duty and registration costs in UP also removes the chance of a future legal or title issue.
 

Therefore, it should have been evident from the article that the state of Uttar Pradesh imposes stamp duty, a tax that is comparable to income tax. Stamp duty must always be paid in whole and according to a precise schedule. The UP property registration is subject to a fee if the stamp duty isn’t always paid on time.

Importance of Timely Payment

It is crucial to pay stamp duty and registration charges on time, as delays can result in penalties or legal complications. The registered document also holds greater legal weight in the event of disputes or claims on the property.

Is Stamp Duty in UP Mandatory?

In Uttar Pradesh, stamp duty must be paid if the cost of the property exceeds Rs 100. To have a property registered in the government’s land records, one must pay stamp duty and a registration fee on the purchase price. You must register your property in accordance with Section 30(2) of the Registration Act of 1908.

A person does not have the legal authority to sell a property if it is not registered in accordance with government regulations. It will also result in breaking the law, which carries penalties.

Stamp Duty in UP Contact Details

For any grievance or if you need further information, you can contact on the following address:-

Office Address: Stamps and Registration Department, 2nd Floor, Vishwas complex, Vishwas Khand -3, Gomti Nagar, Lucknow, 226010.

Inspector General Registration, Stamp Commissioner office is in Prayagraj. The address is the Revenue Council Building, Civil Lines Prayagraj.

Contact number: 0522-2308697, Fax-0522-2308697

Conclusion

Stamp duty and registration charges in Uttar Pradesh are essential components of the property-buying process. Being aware of the rates, calculation methods, and payment procedures ensures a hassle-free transaction and legal ownership of the property. Always consult with legal experts or property consultants to ensure compliance with all legal requirements.

Frequently Asked Questions on Stamp Duty and Registration Charges in Uttar Pradesh

Q1. What is stamp duty in Uttar Pradesh?

Ans1. Stamp duty in Uttar Pradesh is a tax imposed by the state government on legal documents, particularly those related to the sale or transfer of property. It serves as legal evidence of the transaction and is calculated based on the property’s market value or the agreement value, whichever is higher.

Q2. How much is the stamp duty for women in Uttar Pradesh?

Ans2. In Uttar Pradesh, the stamp duty for women is 6% of the property’s market value. This is a reduced rate compared to the 7% charged for male buyers, making it more affordable for women to purchase property.

Q3. What are the registration charges for property in Uttar Pradesh?

Ans3. The registration charges in Uttar Pradesh are typically 1% of the property’s market value. This fee is mandatory for legally recording the property transaction with the government.

Q4. Are there any benefits to paying stamp duty in Uttar Pradesh?

Ans4. Yes, paying stamp duty in Uttar Pradesh provides legal recognition of property ownership, helps prevent legal disputes, and makes the property eligible for loans. It also ensures compliance with state laws and contributes to public services through government revenue.

Q5. How is stamp duty calculated in Uttar Pradesh?

Ans5. Stamp duty in Uttar Pradesh is calculated based on the higher value between the property’s market value and the agreement value. The rate varies depending on the buyer’s gender and the property’s location.

Q6. Can stamp duty in Uttar Pradesh be paid online?

Ans6. Yes, stamp duty in Uttar Pradesh can be paid online through the official IGRSUP portal. The process involves registering the property details, calculating the duty, and making the payment via the portal.

Q7. What happens if stamp duty is not paid on time in Uttar Pradesh?

Ans7. If stamp duty is not paid on time in Uttar Pradesh, the property transaction may become legally invalid, and the buyer could face penalties. The penalty can be up to 200% of the unpaid amount or 2% per month of delay.

Q8. Are there any exemptions on stamp duty for blood relatives in Uttar Pradesh?

Ans8. Yes, the Uttar Pradesh government has reduced the stamp duty to just Rs. 5,000 for property transfers between blood relatives, including gift deeds, partition deeds, and family arrangements.

Q9. What is the difference between stamp duty and registration charges in Uttar Pradesh?

Ans9. Stamp duty is a tax on legal documents related to property transactions, while registration charges are fees paid to legally register the property with the government. Both are mandatory and calculated based on the property’s market value.

Q10. What are the current stamp duty rates for joint property ownership in Uttar Pradesh?

Ans10. For joint property ownership in Uttar Pradesh, the stamp duty rates are 6.5% for a male and female co-ownership, 7% for two males, and 6% for two females. Registration charges remain at 1% for all joint ownerships.