Know Stamp Duty and Registration Charges on Property in Chennai

Table of Contents

  1. Why Is Property Registration Important?

  2. How Is Stamp Duty Charges Calculated in Chennai?

  3. How Much Are the Stamp Duty and Land Registration Charges in Chennai?

  4. Registration Vs. Stamp Duty Charges in Chennai: The Key Difference

  5. Stamp Duty and Registration Charges for Plots in Chennai

  6. What Are The Documents Required for Property Registration In Chennai?

  7. What Are the Land Registration Charges for Property in Chennai?

  8. How to Pay the Property Registration Charges in Chennai?

  9. How to Pay Stamp Duty Online in Chennai?

  10. Key Points on Stamp Duty and Registration Charges in Chennai

Know Stamp Duty and Registration Charges on Property in Chennai

Once acquired, registering the property is essential to establish legal ownership. Throughout the property purchase process, you would have come to realize the significance of various documents and paperwork. Among these, property registration and stamp duty play a crucial role as they provide proof for legitimate possession of the asset. While many are aware of this already, a few of us would want to know about the property registration charges in Chennai, which requires further detailed research to understand how they are calculated in Tamil Nadu. Let us present you with an in-depth view on property registration in Chennai.

Why Is Property Registration Important?

Registration of a property under the Registration Act of 1908 is mandatory in Chennai and all over India, and you must register if you buy a property within the city by paying stamp duty charges in Chennai within four months from the date of acquiring the asset.


Property registration and stamp duty are crucial for establishing legal ownership, safeguarding property rights, preventing fraud, and ensuring transparency in real estate transactions. It is essential to comply with these processes to secure your investment and enjoy a hassle-free property ownership experience.

How Is Stamp Duty Charges calculated in Chennai?

Stamp duty is a state-imposed fee on property registrations, typically calculated as a fixed amount based on either the property's market value or the agreed-upon transaction value. Stamp duty and Chennai land registration charges may change as per new amendments and laws though. Once the stamp duty is paid, the transaction must be registered at the Sub-registrar's office to ensure its legal validity.

How Much Are the Stamp Duty and Land Registration Charges in Chennai?

Registration charge is applied when the seller transfers the property to the buyer and approaches the sub-registrar to legalize the transaction. The stamp duty charges in Chennai amount to 7% of the property value, and property registration charge is calculated as 4%.

Registration vs. Stamp Duty Charges in Chennai: The Key Difference

Land registration charges are the fee collected for property registration involves the formal process of documenting the transfer of ownership from the seller to the buyer and creating an official record of the transaction with the government authority. Its primary objective is to validate and recognize the change of ownership, providing transparency and clarity in property rights. On the other hand, stamp duty is a tax levied by the government on specific legal documents, including property agreements, to make them legally valid.

Stamp Duty and Registration Charges in Chennai for Plots

Here's a table summarizing the stamp Duty and land registration charges in Chennai for different document types:


Documents Stamp Duty Charges Land Registration Fees in Chennai
Conveyance (Sale) 7% on the market value 4% on the market value
Gift 7% on the market value 4% on the market value
Exchange 7% on the market value of the greater value 4% on the market value of the greater value property
Simple Mortgage 1% on the loan amount (max. Rs 40,000) 1% on the loan amount (max. Rs. 10,000)
Mortgage with Possession 4% on the loan amount 1% (max. Rs. 2,00,000)
Agreement to Sale Rs. 20 1% on total consideration if possession is given
Agreement relating to the construction of a building 1% on the cost of the proposed construction/the value of construction/ the consideration specified in the agreement, whichever is higher 1% on the cost of the proposed construction/the value of construction/ the consideration specified in the agreement, whichever is higher
Cancellation Rs. 50 Rs. 50
Partition 1% on the market value of the property (max. Rs. 25,000 for each share) 1% (max. Rs. 4,000 for each share)
Partition among non-family members 4% on the market value of the property for separated shares 1% on the market value of the property for separated shares
General Power of Attorney (Power is given to family member) For this, stamp duty charges is Rs. 100 For this, land registration fees in Chennai is Rs. 1,000
General Power of Attorney (For movable property and other purposes) Rs. 100 Rs. 50
General Power of Attorney (Given for consideration) 4% on consideration or Rs. 10,000, whichever is higher 1% on consideration or Rs. 10,000, whichever is higher
Settlement (In favour of family members) 1% on the market value of the property (not exceeding Rs. 25,000) 1% on the market value of the property (max. Rs. 4,000)
Settlement (Other Cases) 7% on the market value 4% on the market value

For example, if you are registering residential plots in Mangadu , you must pay the relevant stamp duty and registration fee at the sub-registrar's office within four months after acquiring the property from the seller.

What Are the Documents Required for Property Registration in Chennai?

For the registration of a land for sale in Chennai you will require the following documents for verification during property registration.


  • PAN Card
  • Identity proof of the seller
  • Identity proof of two witnesses
  • Passport-sized photographs of all parties involved, including the witnesses
  • Stamp duty receipt
  • No Objection Certificate (NOC)
  • Sale deed
  • Power of attorney, if applicable
  • Utility and municipal tax bills, in case of a resale property

What Are the Land Registration Charges For Property in Chennai?

For paying the property registration charges and stamp duty in Chennai, both the buyer and seller must visit the sub-registrar's office along with the aforementioned documents and two witnesses. The sub-registrar's office carefully examines the paperwork before proceeding with the registration.


Upon successful verification, the sub-registrar will issue a registration certificate and inform the buyer accordingly. The buyer can collect the certificate from the sub-registrar's office. It is crucial to keep this legal document safe to avoid future disputes or discrepancies.


The property registration process in Chennai follows similar procedures as in other parts of the country. Registering the property establishes the buyer as the rightful owner and should never be overlooked.

How to Pay the Property Registration Charges in Chennai

To pay the land registration fees, you can visit the sub-registrar office of the jurisdiction of the property or you can go to the SHCIL (Stock Holding Corporation of India) office and pay the property registration charges and stamp duty.


To pay the property registration charges in Chennai, you have the following options.


Option 1: Visit the sub-registrar office within the jurisdiction of the property location. Submit the required supporting documents as proof of personal details and property acquisition. You can pay the registration fee using non-judicial stamp papers available at the Sub-Registrar's office.


Option 2: The SHCIL branch in Chennai provides a convenient method to pay the necessary duty/fees. Payment can be made at the respective office using RTGS, NEFT, cash, or demand draft (DD).

How to Pay Stamp Duty Charges Online in Chennai?

Option 3: To pay stamp duty charges online in Chennai, follow these steps


Step 1: Visit the official website of SHCIL.


Step 2: Choose the 'e-stamp services' option.


Step 3: Select the respective state from the drop-down menu.


Step 4: Complete the application form and click on the 'Download' tab.


Step 5: Submit the downloaded form to the nearest SHCIL branch.


Step 6: Pay the property registration charges along with stamp duty through NEFT, RTGS, cheque, cash, demand draft, or account transfer.

Key Points on Stamp Duty and Registration Charges in Chennai


  • In Chennai land registration fees and stamp duty is charged on property registration, calculated based on market value or the agreed-upon value of the property. Registration fees differ from state to state.

  • In Chennai, properties must be registered within 4 months from the date of executing the sales deed.

  • To pay the property registration fee in Chennai, visit the Sub-Registrar office in the property's jurisdiction carrying along required documents.

  • Stamp duty and property registration charges can be paid with the help of non-judicial stamp papers available at the Sub-Registrar's or SHCIL office. Alternatively, fees can be paid at the SHCIL branch in Chennai using RTGS/NEFT/CASH/DD.

  • You can also pay stamp duty charges online by visiting the official website of SHCIL and following the directions mentioned in this article.

  • Making property registration charges on time is essential to establish legal ownership, protect your rights as a property owner, and prevent potential disputes.

FAQ


In Tamil Nadu, the stamp duty for property transactions is 7% of the property's market value or sale consideration, whichever is higher. The registration charges in Tamil Nadu are set at 4% of the guidance value, which is determined by the local government based on property type and location. For Chennai specifically, these rates are the same, but the guidance value might differ due to higher real estate values. Therefore, buyers and sellers should verify the current guidance values for land registration charges in Tamil Nadu applicable charges with local authorities or legal professionals before finalizing transactions.
In Tamil Nadu, land registration charges are calculated at 4% of the property's guidance value. The guidance value is a rate fixed by the government and varies depending on the location and type of property. Additionally, stamp duty charges of 7% are applied to the transaction value. It's crucial for property buyers and sellers to confirm these values with the local registration office, as they ensure compliance with legal requirements and accurate charge calculation.
In Chennai, stamp duty charges on property transactions is levied at 7% of the sale consideration or market value of the property, whichever is higher. This rate is consistent with the rest of Tamil Nadu. Stamp duty is a mandatory payment required to make the property transaction legally binding. In addition to stamp duty, registration charges of 4% of the guidance value must also be paid. However, to get an accurate estimate, it's advisable to consult with local authorities or real estate experts.
To calculate property registration charges in Tamil Nadu, first determine the property's guidance value, which is set by local authorities. Registration charges are 4% of this guidance value. For example, if the guidance value is ₹50,00,000, then the registration charge would be ₹2,00,000 (4% of ₹50,00,000). Additionally, stamp duty of 7% of the sale consideration or market value is required. Ensure to verify the latest rates and values with the local registration office for accurate calculations.
Registration fees for house in India typically consist of stamp duty and registration fees. Stamp duty rates vary by state but generally range from 5% to 7% of the property's market value or sale consideration. Registration fees are usually around 1% to 4% of the property's value, depending on the state. For instance, registration fees for house in Tamil Nadu, is 4% of the guidance value, and the stamp duty is 7%. Always check with local authorities for specific rates and calculations applicable to your region at the time of purchase.