Stamp duty and registration charges in Telangana

The registration charges in Telangana is 6% of the property value which includes stamp duty, transfer duty and registration fee.

Stamp duty is one of the most important sources of revenue for the government. The tax charged typically fixed at a percentage of the total transaction value. The stamp and transfer duty is payable on Consideration Value or Market Value, whichever is higher.

Stamp duty in Telangana is to be paid, at the time of execution of a document, by affixing non-judicial stamps to the document or through e-stamps remitted into any designated/authorised bank in favour of the Head of Account of the Commissioner and Inspector General of Registration and Stamps, Telangana, Hyderabad.

In this article, we will see what are the stamp duty and registration charges in Telangana on sale of immovable property, partition of property, gift and settlement and power of attorney, as well as refund for stamp paper.

 

Stamp duty

 

Stamp duty charges in Telangana

The Registration and Stamps Department in Telangana collects 6% of the property value as charges for registration, which includes stamp duty, transfer duty and registration fee and a nominal user charge. In all the cases listed below, stamp duty is payable on the market value or the consideration amount, whichever is higher. The stamp duty and registration charges are the same for both, men and women, in Telangana.

 

Stamp duty, transfer duty and registration charges in Telangana 

For sale of immovable property

Document  Stamp duty  Transfer duty Registration charges
Sale of immovable property in corporations, selection grade and special grade municipalities 4% 1.5% 0.5%
Sale of immovable property in other areas 4% 1.5% 0.5%
Apartments / flats, including semi-furnished, in all areas 4% 1.5% 0.5%
Sale agreement with GPA 5% (4% adjustable and 1% not adjustable) 0% Rs 2,000
Sale agreement with possession 4% 0% 0.5% (subject to a minimum of Rs 1,000 and a maximum of Rs 20,000)
Sale agreement without possession 0.5% (not adjustable) 0% 0.5% (subject to a minimum of Rs 1,000 and a maximum of Rs 20,000)

Source: Telangana Registration Department

See also: Telangana land and property registration: All you need to know

 

Stamp duty on partition of property, gift and settlement in Telangana

In all the cases listed below, stamp duty is payable on the market value or the consideration amount, whichever is higher.

Document  Stamp duty Transfer charges Registration fee
Partition among family members 0.5% on VSS, subject to a maximum of Rs 20,000 0% Rs 1,000
Partition among co-owners that are not family members 1% on VSS 0% Rs 1,000
Settlement among family members 1% 0% 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 10,000)
Settlement with non-family members 2% 0% 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 10,000)
Settlement for charitable purposes 1% 0% 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 10,000)
Gift in favour of relatives 1% 0.5% 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 10,000)
Gift in other cases 4% 1.5% 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 10,000)

Source: Telangana Registration Department

See also: All about Telangana’s TS bPASS system for building permissions

 

Stamp duty on power of attorney and will in Telangana

In all the cases listed below, stamp duty is payable on the market value or the consideration amount, whichever is higher.

Document  Stamp duty Transfer charges Registration fee
General power of attorney authorising a family member to sell, transfer and develop immovable property Rs 1,000 0 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 20,000)
General power of attorney authorising an agent or others to sell, transfer and develop immovable property 1% 0 0.5% (subject to a minimum of Rs 1,000 and maximum of Rs 20,000)
General power of attorney for any other purpose other than authorising an agent or others to sell, transfer and develop immovable property Rs 50 0 Rs 1,000
Special power of attorney Rs 20 0 Rs 1,000 for attestation
Will 0 0 Rs 1,000

Source: Telangana Registration Department

 

Telangana land registration charges

Document  Stamp duty Transfer charges
Sale deed (Gram Panchayath) 5.5% 0.5%
Sale deed registration in other areas 5.5% 2%
Sale agreement without possession 5.5% (adjustable) 0.5% (min. Rs 1,000 or max. Rs 20,000)
Sale agreement with possession 5.5% 0.5% (min. Rs 1,000 or max. Rs 20,000)
Certificate of Sale 5% 0.5%
Conveyance 5% 0.5%

 

Gift deed registration charges in Telangana

Document  Stamp duty Transfer charges Registration fee
Gift for a family members

property in Gram Panchayat

2% 0% 0.5% subject to min. Rs.2,000 and max. Rs.25,000
Gift for a family members

property outside Gram Panchayat

2% 0.5% 0.5% + (0.5% subject to a min. Rs.2,000 and max. Rs.25,000)
Gift for someone else rather than your family

Property in Gram Panchayat

5% 1.5% 1.5% + (0.5% subject to a min. Rs.2,000 and max. Rs.1,00,000)
Gift for someone else rather than your family

Property outside Gram Panchayat

5% 0% 0.5% subject to min. Rs.2,000 and max. Rs.1,00,000.

 

Other registration charges in Telangana

Rectification Deed Charges in Telangana

  • The registration fee for the Rectification/ Ratification/Cancellation of any Deed in Telangana is Rs 1000.

Lease deed registration charges in Telangana

  • The registration charges for a lease deed in Telangana is 0.1%.

Release deed registration charges in Telangana

  • The stamp duty in Telangana for registration of release deed, which are legal documents that relinquish the rights of a property are 0.5% subject to min. Rs.1,000 and max. Rs.10,000.

Agriculture land registration charges in Telangana

  •  The minimum price per acre for agricultural land in Telangana is Rs 75,000. Existing agricultural land prices have been increased by 50% in the lower range, 40% in the middle range and 30% in the upper range.

Open plot registration charges in Telangana

  • For open plots, the lowest price has been raised from Rs 100 per sq yard to Rs 200 per sq. yard. Basic values for open plots have been changed by 50% in the lower range, 40% in the middle range, and 30% in the upper range.

 

How are registration and stamp duty charges calculated in Telangana?

Stamp duty is calculated considering several factors such as:

Property’ location

Stamp duty rates vary based on the location where the property is located. In urban areas, the charges are usually higher than properties in a rural or suburban location.

Property’ age

Stamp duty is calculated based on the total value of the home or property. Hence, property’s age is another crucial factor in determining the stamp duty charges. Higher stamp duty is applicable on newer properties as they are usually in more expensive than older properties.

Type of the property

Stamp duty rates for residential properties are lower than those for commercial buildings. Commercial properties typically come with more amenities. Hence, the stamp duty charges are higher.

Property’s owner age

Senior citizens are eligible to get a rebate on stamp duty in several states. When determining the stamp duty assessed on a property, the age of the property owner must be considered.

Gender

In most states, women are allowed a subsidy on the stamp duty fee. Men typically pay about 2% more in stamp duty than women.

Amenities

The amenities available in a property impacts the stamp duty charges on is liable to pay. Properties with more amenities, including gyms, sports facilities, lifts, swimming pools, libraries, etc. would be subject to a higher stamp duty fee.

How is stamp duty calculated?

Suppose a plot in a locality in Telangana has a price of Rs.5,000 per square feet. That is, a plot or property in this locality cannot be sold at a price below Rs 5,000. For example, a person purchases a property (a municipal property) with an area of 900 square feet in the same locality in Telangana at a price of Rs 5,000 per square feet.

The guidance value for the property will be Rs 5,000 X 1000 = Rs 45,00,000.

Stamp duty = 4% of the market value (Rs 45,00,000) = Rs 1,80,000.

Registration charges = 0.5% of saleable value (Rs 45,00,000) = Rs 22,500.

Total stamp duty + registration charges = Rs 1,80,000 + Rs 22,500 = Rs 2,02,500.

The overall cost of the property purchase will be 45,00,000 + 2,02,500 = 47,02,500.

 

What happens if you do not pay stamp duty?

When you do not pay stamp duty, the purchase or transaction cannot be accepted or received as evidence. In short, it is not valid and such transactions will be impounded by law and a penalty will also be imposed.

Read our article on Telangana RERA.

 

Documents required for Registration for Stamp Duty in Telangana

  • Encumbrance Certificate
  • Original property documents
  • Bank challan for payment of land registration fees in Telangana
  • Demand draft
  • Identity proof (with address) – Aadhar Card of the seller, buyer and two witnesses
  • Section 32A photo form of executants and witnesses
  • For agricultural land – Pattadar passbook
  • Power of Attorney (if required)

The documents mentioned above should be submitted to the sub-office of the Registrar during registration for Telangana stamp duty.

 

How to get a refund on stamp duty in Telangana?

You can ask for a refund for non-judicial stamp papers that were not used or spoilt. This is permissible under the Indian Stamp Act, 1899. However, non-judicial stamp papers are available up to Rs 100 only and a government order has allowed refunds through the challan system.

Check out properties for sale in Hyderabad.

 

FAQ

What is the market value of a property?

As per Section 47A of the Indian Stamp Act, 1899, the market value of a property is the value it would fetch, if sold in the open market.

Can I get refund of penalty on an impounded document?

Yes, a Controlling Revenue Authority (IGR & S) can order for refund on your appeal, if the penalty levied was charged on the higher side.

In case of a partition deed, who pays stamp duty?

In this case, the rules say that all the parties are liable to pay stamp duty, in proportion to their share in the property.

 

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