The Maharashtra government on Friday said its decision to slash stamp duty rates resulted in a 48% rise in registration of documents and generation of ₹367 crore in revenue between September and December 2020, compared with the same period in 2019.
The government had reduced stamp duty from 5% to 2%, which was applicable till December 31, 2020. From January 1, the rates will rise by 1% till the end of the ongoing fiscal year.
As per the data, in December 2019, a total of 2,39,292 registrations generated a revenue of ₹2,712 crore. In December 2020, the figure increased to 4,59,607 and the revenue earned was ₹4,314 crore; a 92% rise in registration and 59% growth in revenue compared with 2019.
Between September and December 2019, a total of 8,44,636 registrations generated a revenue of ₹9,254 crore. During the same period in 2020, the registrations grew to 12,56,224 and the revenue earned was ₹9,622 crore.
State Revenue Minister Balasaheb Thorat said, “The government reduced stamp duty to boost the real estate market, which was facing a slowdown due to COVID-19 and the subsequent lockdown. It gave excellent results and the State Treasury has benefited from it.” He said even the Centre praised the move and has appealed to other States to follow Maharashtra’s example.
“It kicked off transactions which were halted due to the pandemic. It helped both builders and buyers as the dream to buy a house in Mumbai, Pune and other big cities turned out to be a reality,” Mr. Thorat said.
