Paying Stamp Duty Online for Property Purchase: All You Need to Know
<?xml encoding="utf-8" ?><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Property purchase in any Indian state is marked by a crucial legal ritual, which is paying the stamp duty and registration fee. These charges are levied under the Indian Stamp Act, 1899, and the Registration Act, 1908, and would make your property transaction legally valid and recognised by the state. Therefore, for all property buyers, it is crucial to understand </span></span></span><strong><a href="https://www.omshakthy.com/blog/e-stamp-application-verification-&-registry-explained" style="text-decoration:none" target="_blank" rel=" noopener"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#1155cc"><u>what is stamp duty</u></span></span></span></a></strong><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">.</span></span></span></p><p style="text-align:justify"><span style="font-size:13.999999999999998pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>What is Stamp Duty?</strong></span></span></span></p><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Stamp duty is a type of tax imposed by the state government on property transactions. It is proof that your property purchase is legal and officially recorded. Unless you have paid the stamp duty, you will not legally own the property in the eyes of the state, even if you have fully paid for it. The revenue from stamp duty is used for infrastructure development, like sewage systems, roads, and public facilities. Paying both stamp duty and registration fee is mandatory, whether you are buying a plot of land, a newly built apartment, or even receiving property via gift or inheritance. It would help make sure that your property ownership is publicly and legally documented.</span></span></span></p><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000"><img alt="" src="https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcSE15JIic-fOKI2wPlYCCl8sfbXOjnADsFUtQ&s" style="height:159px; width:318px"></span></span></span></p><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Stamp duty should be paid on or before the date of property registration.</span></span></span></p><p style="text-align:justify"><span style="font-size:13.999999999999998pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Ways to Pay Stamp Duty </strong></span></span></span></p><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Stamp duty is paid fully with respect to the value of the stamp paper at the time of property registration. It can be paid online or offline.</span></span></span></p><ul>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Buying a non-judicial stamp paper on which the property registration agreement is printed is the most common way to pay stamp duty. The value of the stamp paper has to match the value of the stamp duty you need to pay.</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Buyers wanting to pay stamp duty online have to go for E-Stamping. </span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">E-stamping meaning</span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000"> is simple. It is a secure and tamper-proof way to pay for non-judicial stamp duty to the government for property-related transactions.</span></span></span></li>
</ul><p style="text-align:justify"><span style="font-size:13.999999999999998pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Key Differences Between E-Stamping and Traditional Stamp Paper</strong></span></span></span></p><div>
<p style="text-align:justify"> </p>
<table cellspacing="0" style="border-collapse:collapse; border:none; width:600px">
<tbody>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Feature</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>E-Stamping</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Traditional Stamp Paper</strong></span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Format</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">It is a digital certificate generated online.</span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Physical stamp paper that is purchased from licensed vendors</span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Accessibility</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Accessed via authorized </span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">e stamping portals.</span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Available through treasury offices or licensed vendors</span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Security</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Tamper-proof with a</span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000"><strong> </strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Unique Identification Number (UIN). </span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Vulnerable to duplication and forgery.</span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Processing Time</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Instant generation upon successful payment</span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Can be time-consuming. </span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Tracking</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Can be tracked and verified online. </span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">No central tracking system in place. </span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Convenience</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">24/7 availability via online portals. </span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Limited to business hours and physical access</span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Environment Friendly</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Paperless transaction</span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Paper-based</span></span></span></p>
</td>
</tr>
<tr>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529"><strong>Fraud Risk</strong></span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Minimal due to digital record-keeping by SHCIL</span></span></span></p>
</td>
<td style="border-bottom:1px solid #000000; border-left:1px solid #000000; border-right:1px solid #000000; border-top:1px solid #000000; vertical-align:middle; width:200px">
<p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#212529">Relatively Higher risk. </span></span></span></p>
</td>
</tr>
</tbody>
</table>
</div><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">Due to the many benefits associated with the process, an increasing number of property buyers are opting to pay stamp duty online.</span></span></span></p><p style="text-align:justify"><span style="font-size:13.999999999999998pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>How to Pay Stamp Duty Online</strong></span></span></span></p><ul>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Access the E-Stamping Portal</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: You need to visit the SHCIL website or the designated portal of your state.</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>E-Stamp Login</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: Register or log in to your account on the portal.</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Fill Out the E-Stamping Form</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: You have to enter a few key details, like property value, buyer and seller information, and type of agreement (sale agreement, purchase agreement, or e-stamp rental agreement).</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Automatic Stamp Duty Calculation</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: The exact amount you shall have to pay as stamp duty will be calculated based on the property value and agreement type.</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>Make Payment</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: You can pay the stamp duty via net banking, credit/debit card, or other digital modes.</span></span></span></li>
<li style="list-style-type: disc; text-align: justify;"><span style="font-size:12pt"><span style="font-family:Cambria,serif"><span style="color:#000000"><strong>E-Stamp Download</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: After the payment is successful, you shall be able to download and print the e-stamp certificate, which contains a unique identification number and QR code for authenticity.</span></span></span></li>
</ul><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">You need to attach the e-stamp paper to your property purchase agreement for legal validity. The e-stamp certificate would be submitted to the registrar during property registration.</span></span></span></p><p style="text-align:justify"><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000"><strong>Author bio</strong></span></span></span><span style="font-size:11pt"><span style="font-family:Calibri,sans-serif"><span style="color:#000000">: Being a real estate developer, the author has vast knowledge of the real estate industry. With her knowledge, she helps people with their real estate-related concerns and queries through her blog. </span></span></span></p>