Self-redevelopment by cooperative housing societies gets a boost, as Maharashtra announces stamp duty concessions for society members
PUBLISHED ON: 19-07-2023
The Revenue and Forest Department, Government of Maharashtra has, vide Government Circular No. Stamp-2022/P.No.617/M-1(Policy) dated July 14, 2023 (‘Circular’), with the objective of encouraging self-redevelopment by cooperative housing societies registered in the State, granted stamp duty concession on premises to be received free of charge by bonafide members of cooperative housing societies in such redevelopment projects.
The Circular, which came into effect from July 14, 2023, inter-alia states that:
- members of registered cooperative housing societies entitled to receive free of charge area in the redevelopment project, in lieu of surrender of their original flats / shops, would only be required to pay a reduced stamp duty of Rs. 1000/- on their agreements;
- members who wish to purchase additional area, in addition to their free of charge area entitlement in the redevelopment project, shall pay stamp duty on such additional area, as per the provisions of the Maharashtra Stamp Act, 1958;
- purchasers of free sale flats in the redevelopment project would not be entitled to any stamp duty concession under this Circular; and
- no refund or benefit under this Circular would be given to any entity who has already paid stamp duty prior to the date of this Circular.
The aforementioned was notified vide Government Circular dated July 14, 2023 (available here)
