Stamp Duty and Registration Charges in Karnataka
Karnataka charges stamp duty at 5% on property above ₹45 Lakhs. Registration is 1% on the same base. Together they add about 6% to a purchase. Lower-value properties fall in lighter bands.
Both are calculated on the higher of two figures. One is your deed value. The other is the government guidance value for that survey number. You cannot register below guidance value.
On top, cess and surcharge apply. They are charged on the stamp duty, not the property price. Buyers above ₹50 Lakhs also deduct TDS at 1% when paying the seller.
The Separate Costs of Registering Property
Most buyers say "registration" and mean everything. There are really several line items. Each has its own basis. Knowing the split stops surprises at the counter.
| Component | What it is | Charged on |
| Stamp duty | State tax that gives the deed legal force | Higher of deed value or guidance value |
| Registration fee | Fee for recording the deed with the state | The same value base |
| Cess and surcharge | Levies added on top of duty | A percentage of the stamp duty amount |
| Khata transfer | Entering the property in local body records | A separate local-body charge |
| TDS | Tax deducted from the payment to the seller | The consideration, above ₹50 Lakhs |
Note the third row. Cess and surcharge are a slice of the duty. They are not a slice of the price. That keeps them small, but they still count.
Guidance Value: The Basis That Governs
What it is
Guidance value is the state's minimum notified value for a location. It is also called the sub-registrar's market value. It is set survey number by survey number. It changes when the state revises it.
Why it decides your bill
Duty is charged on the higher of deed value or guidance value. If you negotiate below guidance value, duty is still charged above it. The state does not lose revenue on a low price.
Where to check it
Look it up on the Kaveri Online Services portal before you budget. Use the exact survey number, not the locality. Values differ street by street. A neighbouring number can carry a different rate.
A Worked Example
Take an apartment at ₹1.62 Cr, above the ₹45 Lakhs threshold. Assume the deed value exceeds guidance value. The arithmetic then runs on the deed value.
| Line item | Basis | Amount |
| Consideration | Agreement value | ₹1.62 Cr |
| Stamp duty | 5% | ₹8.10 Lakhs |
| Registration fee | 1% | ₹1.62 Lakhs |
| Stamp duty and registration together | 6% | ₹9.72 Lakhs |
| TDS on payment to seller | 1% | ₹1.62 Lakhs, withheld and deposited |
TDS is not an extra cost to you. It is part of the price, paid to the government instead of the seller. You deposit it and issue the certificate. Missing that step creates a problem later.
Cess and surcharge are added on the duty figure. GST at 5% without input tax credit applies separately on under-construction homes. Neither is folded into the 6%.
How Registration Works in Practice
Kaveri Online Services
Karnataka runs registration through the Kaveri portal. Much of the workflow is online now. You check guidance value, compute duty, pay, and book a slot. The portal issues the challan.
At the sub-registrar's office
Parties and witnesses appear in person with identity documents. The deed is executed and registered. The endorsed, scanned copy is the binding record. Keep it safe and keep certified copies.
Khata, after the deed
Registration proves you own the property. Khata proves it stands in your name in local records. Apply to the relevant authority after registering. Without a clean khata, resale and mortgage both stall.
| Step | What happens | Where |
| 1 | Check guidance value for the survey number | Kaveri Online Services |
| 2 | Compute duty on the higher value | Kaveri Online Services |
| 3 | Pay stamp duty and registration fee | Online or by challan |
| 4 | Book an appointment slot | Kaveri Online Services |
| 5 | Execute and register the deed | Jurisdictional sub-registrar |
| 6 | Apply for khata transfer | Local body or panchayat |
The order matters. Duty is paid before the deed is executed, not after. Turning up without a challan wastes the slot. Have the paperwork ready first.
Common Mistakes Buyers Make
Budgeting on the price alone
About 6% on top is the minimum to plan for. Add cess, surcharge and khata charges. On an apartment above ₹1.5 Cr, that is close to ₹10 Lakhs. It cannot come from the loan.
Assuming the locality rate applies
Guidance value is notified by survey number. Two plots on the same road can differ. Look up the exact number in your agreement. Do not rely on a broker's estimate.
Skipping the TDS step
Above ₹50 Lakhs the buyer must deduct and deposit 1%. The certificate goes to the seller. Skipping it creates a compliance problem in your name, not theirs. Do it on time.
What to Confirm Before You Pay
Rates and slabs change through state budget notifications. Concessions appear and lapse. Any percentage you read online may be out of date. That includes this page.
Ask for the split in writing before paying. Stamp duty, registration fee, cess, surcharge and khata should each be named. A single bundled figure hides errors. Insist on the breakdown.
The same rules apply to any Bengaluru purchase, including apartments in the Devanahalli belt such as Milan at Godrej MSR City. Statutory charges are set by the state, not by the seller.
This is factual reference, not tax or legal advice. Rates, slabs and guidance values change. Confirm the figures for your transaction with a conveyancing lawyer, a chartered accountant or the sub-registrar's office. Project registration should be checked at rera.karnataka.gov.in.
Frequently Asked Questions
1. What is the stamp duty rate in Karnataka?
5% on property valued above ₹45 Lakhs, with lighter bands for lower-value properties. The state revises these through budget notifications, so confirm the current slab before you budget.
2. What is the registration charge?
1% of the same value base used for stamp duty. Stamp duty and registration together come to about 6% on a purchase above ₹45 Lakhs.
3. Is duty charged on my price or on guidance value?
On whichever is higher. If your negotiated price is below the government guidance value for that survey number, duty is still computed on the guidance value. You cannot register below it.
4. What is TDS on a property purchase?
1% on transactions above ₹50 Lakhs. The buyer deducts it from the payment to the seller and deposits it with the government, then issues the certificate. It is part of the price, not an added cost.
5. Are cess and surcharge charged on the property value?
No. They are calculated as a percentage of the stamp duty amount, not of the property price. That is why they are comparatively small figures.
6. Does GST replace stamp duty?
No. They are separate. GST at 5% without input tax credit applies to under-construction homes, while stamp duty and registration are state charges on the deed. Both can apply to the same purchase.
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