Bhubaneswar: The Odisha government has issued a notification to amend the Indian Stamp Act, 1899, to regulate stamp duty and simplify the registration of housing apartments, officials said Friday
The state government had earlier obtained approval of the cabinet for promulgation of an ordinance to carry out necessary amendments to the Indian Stamp Act, they said.
The ordinance was issued Thursday.
“This will simplify the registration process for housing apartments and safeguard the government’s revenue collection,” an official said.
He said the Odisha Apartment (Ownership and Management) Act, 2023, mandates the transfer of common areas and other facilities in favour of the Association of Allottees at the time of registration of the first deed of conveyance.
The deed of conveyance is a legally binding document signifying the transfer of ownership, rights, and title of a property from a seller to a buyer.
The Association of Allottees was earlier required to pay 5 per cent stamp duty (on common spaces like staircases and parks) for execution of the deed, “which resulted in a significant financial burden on them and created impediments in the process of apartment registration”, the official said.
“As per the amendment, the Association of Allottees is now required to pay a nominal stamp duty of Rs 50,000 for execution of the deed of conveyance,” the notification said.
“This apart, at the time of transfer of individual apartment units, buyers will be charged flat 5 per cent stamp duty. This includes the buyer’s share of the common property. Earlier, there were different tax rates,” the official added.
