Stamp duty and registration charges in Karnataka come to about 6.6% of the property value for a home above ₹45 lakh inside Bengaluru's city limits. That is 5% stamp duty, a 10% cess and a 2% surcharge on that duty, and a 1% registration fee. On a ₹2.5 crore flat it is about ₹16.5 lakh, paid at the Sub-Registrar's office on registration day. It is not on the developer's cost sheet, and most home loans do not cover it.
Buyers budget for the cost sheet. Then, close to registration, they discover this further sum is due, on top of everything the developer quoted. Here is how it is worked out.
Stamp duty and registration charges in Karnataka: the rates
| Charge | Rate |
|---|---|
| Stamp duty, property up to ₹20 lakh | 2% |
| Stamp duty, ₹20 lakh to ₹45 lakh | 3% |
| Stamp duty, above ₹45 lakh | 5% |
| Cess | 10% of the stamp duty |
| Surcharge | 2% of the stamp duty in BBMP and urban limits, 3% in rural areas |
| Registration fee | 1% of the value |
The lower slabs exist, but essentially nothing in the projects on our desk falls into them. Confirm the current rates on kaveri.karnataka.gov.in before you transact, because the state revises them from time to time.
Worked example on a real cost sheet
Take the ₹2,56,55,031 all in figure from a real Assetz cost sheet for a 1,901 sq.ft. 3 BHK at Kudlu. Every line of that sheet is set out in our Mizumi Reserve cost sheet breakdown.
| Line | Approx. |
|---|---|
| Stamp duty at 5% | ₹12,82,752 |
| Cess, 10% of duty | ₹1,28,275 |
| Surcharge, 2% of duty | ₹25,655 |
| Registration at 1% | ₹2,56,550 |
| Total, roughly | ₹16,93,232 (6.6%) |
That is the price of a new family car, due at registration, and no part of it is financed in the ordinary way. Most lenders fund the property value, not the duty.
What it comes to at different prices
| Property value | Stamp duty, cess, surcharge and registration |
|---|---|
| ₹78 lakh | About ₹5.1 lakh |
| ₹1 crore | About ₹6.6 lakh |
| ₹2.57 crore (3 BHK, Kudlu) | About ₹16.9 lakh |
| ₹2.85 crore (4 BHK villament, Hennur) | About ₹18.8 lakh |
| ₹3.39 crore (4 BHK, Kudlu) | About ₹22.4 lakh |
All at the urban surcharge rate. You can run your own figure on our Karnataka stamp duty calculator.
The cash you need beyond the loan
For a home above ₹75 lakh, RBI rules cap a home loan at 75% of the value. Put that together with stamp duty and the figure you need from your own savings is larger than most buyers expect. On the ₹2,56,55,031 Kudlu 3 BHK, a 25% down payment is about ₹64.1 lakh. Add about ₹16.9 lakh for stamp duty and registration and you need roughly ₹81 lakh of your own money, spread between booking and registration day.
Which value is duty calculated on?
On the sale deed consideration or the government guidance value, whichever is higher. Guidance value is the state's minimum benchmark per locality, revised from time to time. In most of Bengaluru's premium corridors the actual price is above guidance value, so the duty follows the deed.
When and where you pay it
You pay at registration of the sale deed, at the Sub-Registrar's office for the area, once the home is ready and the developer calls you to register. Cost sheets say "registration and stamp duty extra, at actuals" for this reason. The step by step process, from booking a slot to collecting the registered deed, is in our guide to property registration in Karnataka.
Things people get wrong
- Assuming it is in the cost sheet. It is not. Cost sheets end at possession charges.
- Forgetting khata transfer. A separate process and cost, paid by the purchaser, and needed before you can pay property tax in your own name.
- Counting on a women's concession. Some states offer one; Karnataka's relief applies to lower value slabs, so at these prices it rarely helps.
- Late registration. Penalties apply. Register within the window in your agreement.
Add it to your comparison
When comparing two projects, add about 6.6% to each all in price before deciding what you can afford. It does not usually change which project wins, since the percentage is the same everywhere. But it very often changes the budget bracket you should be shopping in at all. Our guide to reading a Bangalore cost sheet shows what else sits between the base rate and the final figure.
