The Maharashtra government issued a resolution to its effect, on Friday, and is applicable to the current flat owners of self-redeveloped registered co-operative housing societies.
Registered co-operative housing societies which opt for self-redevelopment will be paying only Rs 1,000 towards stamp duty for allotment of apartments in the newly constructed building to existing flat owners. This move is said to be taken to make self-redevelopment of old buildings in Maharashtra, more viable.
The government has further clarified in its resolution, that the flat buyers, however, buying apartments from open market in such a self-redeveloped building will be paying the stamp duty on prevailing market rates. Also, existing owners who want to buy extra area in their society, will also be paying the existing market rates of stamp duty.
Normally, 5 to 7 percent of the total agreement amount is charged as stamp duty, by the Maharashtra government, depending on the district and city.
As of now, the stamp duty for those purchasing apartments under the Pradhan Mantri Awas Yojana (PMAY), the affordable housing scheme of the Central government, is also Rs 1,000.
And, after the government resolution (GR) issued by the Maharashtra Revenue Department, on July 14, societies undertaking self-development will be paying the same.
The ball was set rolling on this by Devendra Fadnavis, the Deputy Chief Minister of Maharashtra. He had instructed the state administration, on May 8, 2023, to fast track the implementation of self re-development policy, which had already been approved way back in the year 2019. Also, it was decided that a dedicated single-window clearance would be setup in Mumbai, for self-redevelopment. And the applications received there would be processed in three months, in timebound manner.