Stamp Paper Value For Service Agreement In Tamil Nadu

Finally, print your document on stamp paper. Capitals like Chennai, Coimbatore, Salem, etc. are used to making sophisticated deals, while smaller towns like Madurai, Tiruchirapalli, Tirunelveli, etc., are more forgiving. In case of disagreement in the future, the lease will be one of the priorities of the dispute. However, there are other factors that, if overlooked, can cause bigger problems. Here are a few things you should keep in mind – According to a July 2020 report, the Tamil Nadu government will likely reduce stamp duty and registration fees for all leases older than 12 months. This is one of the conditions set by the World Bank for the financing of the Tamil Nadu Housing Sector Strengthening Programme. The state of Tamil Nadu has a simple 1 per cent stamp duty rule on the total annual rental value. The maximum stamp duty is determined with Rs 20,000.

Thus, you need to buy stamps of 1 percent of the total annual rent or Rs 20,000 depending on what is lower. The lease is a key document intended to establish a transparent transaction between the lessor and the tenant. Under the Registration Act 1908, an 11-month lease agreement must be registered with the Sub-Registrar`s office in the district concerned. Today, the Tamil Nadu government introduced the new rules of the Tamil Nadu Lords and Tenants Rights and Responsibilities Act, 2017, which make it mandatory to register rental agreements in the state. Stamp duty must be paid on all documents registered in India in accordance with the Registration Act. The rate of stamp duty varies from state to state and depends on the nature of the transaction, such as sale, lease, gift, mortgage, etc. In addition, stamp duty rates may vary depending on whether the declarant of the document is a male, female or legal person such as the company or the LLP. In this article, we look at stamp duty rates in Tamilnadu. In accordance with the Indian Stamp Act of 1899, stamp duty must be paid as a measure of registration and tracking of all transactions. Therefore, stamp duty functions almost as proof of the conclusion of the transaction and the fact that it took place.

This is a legal person that is valid in court as evidence in the event of a dispute….