COVID-19 Update – Maharashtra Reduces Stamp Duty on Certain Immovable Property Agreements

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Sep 08, 2020

COVID-19 Update – Maharashtra Reduces Stamp Duty on Certain Immovable Property Agreements

The Revenue and Forest Department of Maharashtra has, by its notification dated August 29, 2020, reduced the stamp duty applicable on a conveyance of and an agreement to sell an immovable property as follows:

(a) For the period from September 1, 2020 to December 31, 2020: In Mumbai District and Mumbai Suburban District, the stamp duty is reduced by 3% and in the rest of the State of Maharashtra, the stamp duty is reduced by 2%; and

(b) For the period from January 1, 2021 to March 31, 2021: In Mumbai District and Mumbai Suburban District, the stamp duty is reduced by 2% and in the rest of the State of Maharashtra, the stamp duty is reduced by 1.5%.

This reduction will bring relief to the real estate sector, which is witnessing diminishing sales and is reeling from the effects of Covid-19. In the absence of any specific restriction under the aforesaid notification, it appears that the benefit of the reduced stamp duty rate will apply to both residential and commercial properties.

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