The Maharashtra government has announced a major reduction in stamp duty for the registration of 99-year lease agreements of cooperative housing societies on government-leased land in Mumbai, offering significant financial relief to hundreds of residential societies.
Revenue Minister Chandrashekhar Bawankule announced in the Legislative Assembly on Tuesday. Under the revised policy, residential properties will now attract a maximum stamp duty of 0.5%, while commercial properties will be subject to a 1.5% rate.
The decision came in response to a calling attention motion moved by BJP MLA Atul Bhatkhalkar, who highlighted that thousands of cooperative housing societies had been unable to register their lease agreements for decades due to procedural hurdles and high stamp duty costs.
According to Bawankule, the revised rates will benefit societies located on government land leased for 99 years. He cited several examples to illustrate the impact of the decision. The stamp duty payable by Mittal Chambers Owners Cooperative Society in south Mumbai will reportedly reduce from approximately Rs 101.21 crore to about Rs 10.68 lakh. Similarly, New Maker Chambers will see its liability fall from around Rs 119.47 crore to Rs 1.76 crore.
Sea Lot Cooperative Housing Society in Colaba will now pay approximately Rs 27.05 lakh instead of Rs 176.82 crore, while Abhilasha Premises Society in Colaba will see its stamp duty reduced from about Rs 104.83 crore to Rs 19.45 lakh.
The minister clarified that the concessional rates will apply uniformly to both Mumbai city and suburban areas.
In another relief measure, the government announced a waiver of transfer premiums on flats in the BBD Reclamation area for property transfers completed before 2015. The move is expected to benefit nearly 1,500 flat owners across 91 properties.
The revised policy is expected to provide substantial financial relief to cooperative housing societies in areas including Nariman Point, Cuffe Parade, Colaba, Marine Drive, and several Mumbai suburbs.
Source: ET Realty
