As a tenant or landlord in Gurgaon, it is important to be aware of the stamp duty regulations when signing a rent agreement. The stamp duty is a tax imposed on the legal recognition of a document and is typically calculated as a percentage of the agreement’s total value.
In Gurgaon, the stamp duty for rent agreements is 1.5% of the total annual rent for all residential properties, with a maximum limit of INR 10,000. For commercial properties, the stamp duty is 2% of the total annual rent with a maximum limit of INR 10,000. This means that both the landlord and tenant must pay their share of the stamp duty in order to legally register the rent agreement.
To calculate the stamp duty for a rent agreement in Gurgaon, the first step is to determine the total annual rent amount. For example, if the monthly rent is INR 25,000, the total annual rent would be INR 3,00,000. The stamp duty for a residential property would be 1.5% of INR 3,00,000, which is INR 4,500. The landlord and tenant would each be responsible for paying INR 2,250.
It is important to note that the stamp duty must be paid before the registration of the rent agreement can be completed. Failure to pay the stamp duty can result in legal consequences, including fines and penalties. Therefore, it is essential for both landlords and tenants to ensure that the stamp duty is included in their budget when negotiating the rent agreement.
To pay the stamp duty for the rent agreement, you can visit the nearest authorized stamp vendor or use the online payment portal provided by the Haryana government. After paying the stamp duty, the agreement must be registered with the Sub-Registrar of Assurances, which is typically done within four months from the date of signing the agreement.
In conclusion, understanding the stamp duty regulations for rent agreements in Gurgaon is crucial for both landlords and tenants. By calculating and paying the stamp duty on time, you can avoid legal issues and ensure that your tenancy agreement is legally binding.