Can stamp duty be refunded?
You won’t believe the incredibly large number of people that ask me this question, well not exactly in these same words but you get the gist. I am surprised that a large number of our populace is ignorant regarding the stamp duty refund procedure. There are many questions regarding the stamp duty refund process that needs to be answered, allow me to present the information in a Q & A format. Please take note that the information provided would be relevant for the state of Maharashtra as on March 2019.
Q. Could you get a refund of stamp duty amount before registration?
A. If you have paid the amount and did not register the document, then you must apply for the stamp duty refund within 6 months from the date on which you have paid the stamp duty amount.
Q. I want to cancel my registration, will I get stamp duty and GST refund?
A. Yes you must get GST refund, ask the builder, if he refuses, there is always RERA. If you have registered a sale agreement, then you must register a cancellation deed within 5 years from the date of sale agreement. Once you have successfully cancelled the agreement then you must apply start stamp duty refund procedure and submit the stamp duty refund application within 6 months from the date of Cancellation deed.
Q. What is the proof of stamp duty payment? I have a receipt from builder will it work?
A. No sir, the receipt will not work, either you must have a GRAS challan (MTR 6) or an ESBTR certificate (it looks like a stamp paper). You will need original copies of both for the procedure. ESBTR refund and challan refund are the same thing as stamp duty refund.
Q. What documents are required for stamp duty refund application?
A. The requirements are as follows.
Sale agreement (Original)
Cancellation Deed (This is a tricky one. Some offices accept only original copy of cancellation Deed while some are okay with the certified copy.)
Copy of Pan Card and Aadhaar Card
Affidavit
NOC (if applicable)
Power of attorney (If applicable)
Refund Form
Cancelled Cheque
Q. Builder refuses to give me original document, is there a way out. He says he needs it for selling the flat to future customers.
A. He does NOT need original documents for selling the property further. Photocopies are enough proof and if required certified copies of Sale agreement’s and Cancellation Deed’s Index 2 are more than enough for future registrations. Kindly point it out the same to the builder and claim your documents.
Q. Will I get my original agreement back after stamp duty refund?
A. The original Agreement for sale and Cancellation deed are not returned by the state government. The original documents are returned only in cases where the stamp duty refund application has been rejected.
Q. Will I get the stamp duty and registration fees both?
A. If you have not registered an agreement for sale then you will get both stamp duty refund and registration fee refund. If you have registered a sale agreement then you will not receive the Registration fee amount.
Q. Will I get the complete amount or will there be some deduction by the government?
A. The maximum deduction as of today when this article is being written is Rs 1000/- (One Thousand Only)
Q. How much time does it take to get stamp duty amount back?
A. It takes around two to three months for an amount lesser than 5 lakhs, the duration may vary subjective to the amount and the office where you have applied for stamp duty refund.
Q. Where must I apply for stamp duty refund?
Collector of stamps office at your district.
Q. Will I get the stamp duty and registration fees both?
A. Stamp duty refund application has to be filed with the office of Collector of stamps of that particular district. Click here for the address for the office of collector of various district’s.
Q. Can my stamp duty refund application be rejected?
A. Yes if your documents are not in order, if you have failed to submit application within specified duration, if you do not meet certain stipulations then the stamp duty refund application could be rejected.
Q. Can I reapply for refund after my application has been rejected?
A. Yes, you may submit an appeal before the Inspector General of Registration in Pune.
Q. How do I get the refund amount? Do I have to be present in the office?
A. No, the amount is transferred in your bank account. They may call you to sign in the office though, when the refund has been granted. Once you sign on the treasury receipt then it takes another 15 to 30 days to receive the transfer in your account.
Q. Who are you, and how do you know all this?
A. I am a part of estampdutyrefund.com, we are consultants working with conveyance lawyers who handle the refund procedure for people like you who are too busy to complete the procedure themselves.
Q. I knew you had a motive, I guess now you will tell me that your service is so convenient that everyone should hire you for stamp duty refund?
A. No, not everyone could commission us for the procedure, stamp duty refund needs drastic follow-up, which means crazy man hours. Those who are way too busy or those who appreciate the kind of effort it requires for follow up sign us immediately. We try to help others by way of giving out information for the procedure and explaining details.
Q. Okay, how do you manage my documents, will I have to be present in the office?
A. Your documents are picked up from you home or office and you never have to set your foot in the government office, we take care of it all for you.
Q. Fine, I’ll bite, how can I contact you?
A. Visit our site estampdutyrefund.com or just call us on 9890000230.
