MUMBAI: In a major move, right before the crucial BMC elections, the Maharashtra government has decided to waive stamp duty and registration fees for residents of old buildings who are allotted homes in newly redeveloped buildings under the cluster redevelopment scheme in Mumbai. The decision will be applicable to all those eligible for homes measuring 400 square feet to 600 square feet under the scheme. An order to this effect was issued by the Inspector General of Registration and Controller of Stamps on November 18.
State revenue minister Chandrashekhar Bawankule said the decision would bring relief to residents who dreamed of owning a home in Mumbai and would also help boost cluster redevelopment in the city. The scheme allows for the combined redevelopment of multiple old and unsafe buildings into a single, large project. It aims to improve urban infrastructure, safety, and housing by offering benefits like higher FSI and potentially larger, more modern homes.
“So far, the residents of old buildings had to pay stamp duty and registration fees on the increased area received after redevelopment, which was based on the construction cost or the ready reckoner rate,” said a senior revenue official. “Now, to enforce the waiver, the combined valuation of the original area, additional area, and extra construction area will be calculated at a concessional rate.”