Mumbai: State cabinet to reduce stamp duty on tripartite agreements

To incentivise the redevelopment of old and dilapidated buildings and chawls on BMC land, the state cabinet on Tuesday decided to reduce the stamp duty on tripartite agreements to just Rs 1,000.

"This will give a push to the redevelopment of the BMC's tenanted properties," said an official from the state revenue department. He however added that those properties which have already signed development agreements and paid stamp duty would not get a refund. These tripartite agreements are signed between the registered co-operative housing societies, the developer appointed by them and the civic body.

These properties are developed under the BMC's 33 (7) and 33 (9) development control regulations. While the first category covers chawls and buildings constructed before September 30, 1969, the other section covers cluster redevelopment projects.

A senior officials from the revenue department said at present, the valuation of these properties for charging stamp duty was made on the basis of factors like the size and location of the plot, the floor space index (FSI) and transfer of development rights (TDR), and reservations, if any, on these lands.