Metro cess: Stamp duty on property registrations to rise in Mumbai, other Maharashtra cities
1 min read . Updated: 01 Apr 2022, 06:09 PM IST
Premium- Maharashtra government had taken a decision in February 2019 to levy 1% metro cess on property purchases in four cities including Mumbai
The Maharashtra government will start charging 1% metro cess on property purchases in three cities including Mumbai, Nagpur and Pune, news agency PTI reported. The move comes after the state government decided to lift all the coronavirus restrictions in the state.
Talking to PTI, Bhushan Gagrani, principal secretary (urban development), said the Maharashtra government had taken a decision in February 2019 to levy 1% metro cess on property purchases in four cities including Mumbai.
But its implementation was stayed after a year due to the outbreak of Covid-19 in March 2020. "This is not a new decision. We are reviving the earlier decision, which had to be discontinued due to the pandemic," he said. Due to the metro cess, stamp duty on property registrations will go up by 1%, he said.
"Our target is to get revenue of ₹700 crore to ₹800 crore annually. Till March 2020, we got a revenue of approximately ₹500 crore to ₹550 crore,'' he said. The metro cess is intended to fund transport infrastrucuture projects in these cities.
After more than two years, all pandemic-related restrictions, including the mandatory wearing of masks, will be lifted in Maharashtra from April 2. The decision was taken at a cabinet meeting chaired by Chief Minister Uddhav Thackeray.
Recently, UBS securities, in a report said, the Mumbai property market that accounts for 10% of national volumes, 23% of sales and a third of the margins, is on the cusp of a historic upcycle on all fronts, having already hit a decadal high of new or primary sales in 2021 selling 38,000 units despite the pandemic-induced disruptions.
