Affordable Housing: Bill passed by Assembly, slashing stamp duty on low-price flats in Karnataka

On Wednesday, the state council passed a bill to reduce the stamp tax on apartments priced from 20,000 to 35,000 to 3% from 5% to bolster an ambitious affordable housing program. In the same way, the government has also tried to reduce stamp duty on apartments with prices below Rs 20 thousand rupees to 2%. The assembly approved changes to a bill that Finance Minister R Ashoka proposed in the assembly. It will enter into force after approval by the LegislativeCouncil. Maharashtra recently cut stamp duties for a limited period to boost the real estate sector, which has been hit by the COVID-19 epidemic. The Finance Minister recently said that the government will soon reduce the value of the ownership trend by 15-20% so that the deal value reflects market trends. He said that high indicative value in many areas led to transactional overrides, as people struck deals through mutual agreements and GPA (General Power of Attorney) to avoid paying registration fees and taxes on higher-value deals.

The reference market price of the property in a particular region is known as the trend value in Karnataka. Credai Bengaluru Real Estate Lobby requested, on the last appeal, a 30% reduction in appeal value. Also Read: Prestige Group to invest Rs 2,000 Cr on 4 new housing projects in Bengaluru, Hyderabad, Goa