Representative image indicating property tax.
Credit: iStock Photo
New Delhi: States charging high stamp duties on purchase of properties will be encouraged to bring down the rates, Union Finance Minister Nirmala Sitharaman said on Tuesday (July 23), asserting that the reform will be a key component in urban development schemes.
She also asked states to consider further lowering stamp duties for properties bought by women.
"We will encourage states which continue to charge high stamp duty to moderate the rates for all, and also consider further lowering duties for properties purchased by women. This reform will be made an essential component of urban development schemes," Sitharaman said.
Stamp duty is a tax imposed by state governments on the sale of property/property ownership. It is payable under Section 3 of the Indian Stamp Act, 1899. The duty is payable at the time of registration of property if a property is acquired by way of sale deed/conveyance deed/gift deed.
For states, stamp duty is one of the major streams for generating funds to undertake development works.
Union Budget 2024 LIVE | Making a record for any Finance Minister, Nirmala Sitharaman presented her 7th consecutive Union Budget on July 23, 2024 under the Modi 3.0 government. This Budget brought tax relief for the middle class, while focusing on jobs through skilling, incentivising employers. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.