LOWER STAMP DUTY LEG UP FOR AFFORDABLE HOUSING

National housing Bank (NHB) is carrying out a study on cause and effect of stamp duties on property transactions across different states, with a view to build a case for states to lower stamp duty on affordable housing. NHB has expressed concern over high stamp duty of 6-10 percent for affordable housing , making a case for lowering stamp duty to benefit affordable housing. Union Housing Ministry has urged states to reduce stamp duty which is a big burden on buyers of affordable homes.

 

NHB recommends that for a 10-15 lakh house, registration should not be more than 2-3 percent t.e 20000-30000 . Significant reduction in stamp duty will lower transaction cost . This will not just boost property buying but also help raise states’ revenue from stamp duty/registration.