How is stamp duty calculated on Leave and License in Maharashtra?

Under Article 36A of the Maharashtra Stamp Act, stamp duty is 0.25% of the total consideration. Total consideration equals: (Monthly Rent × Tenure) + (10% per annum deemed interest on refundable deposit × Tenure in years) + Non-refundable deposit.

What is the penalty for an under-stamped agreement in India?

Under Section 35 of the Indian Stamp Act 1899, an insufficiently stamped document is inadmissible in court as legal evidence. The court or registrar will impound the agreement and impose a penalty of up to 10 times the unpaid stamp duty amount.

Can I pay stamp duty online using e-stamping in India?

Yes. Most Indian states (including Maharashtra, Karnataka, Delhi, Tamil Nadu, Uttar Pradesh, and Gujarat) offer online e-stamping via the Stock Holding Corporation of India Limited (SHCIL) or state-specific registration portals.

Updated for 2026 Fiscal Rates

Stamp Duty & Registration Calculator

Calculate exact stamp duty, registration fees, and e-stamping paper denominations across Indian states under state stamp acts.

Agreement Particulars

Select state and financial terms

State / Jurisdiction *

Agreement Type *

Monthly Rent / Consideration (₹) * For services, enter monthly billing amount.

Duration (Months) * Standard residential is 11 months.

Refundable Security Deposit (₹) Maharashtra applies deemed 10% annual interest.

Non-Refundable Deposit / Premium (₹) Advance rent or non-refundable fee.

Premises Location Area

Total Government Payable

₹2,000

Stamp Duty + Registration Fee

Stamp Duty

₹1,000

Registration Fee

₹1,000

Taxable Base

₹3,98,750

Mandatory Registration?

Yes

Maharashtra Rule (Article 36A): 0.25% of [Total Rent + 10% interest on deposit × years]. Mandatory registration under Sec 55 MRCA.

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2026 State-by-State Stamp Duty Matrix

State governments levy stamp duty under their respective stamp schedules. Below is the statutory benchmark for tenancies and agreements:

State	11-Month Tenancy Rate	Leases > 1 Year	E-Stamp Mode
Maharashtra	0.25% of total consideration (rent + deemed deposit interest)	0.25% + ₹1,000 registration fee	iGR Maharashtra / E-Filing
Karnataka	0.5% of total rent + deposit (or standard ₹200-₹500 for low rent)	1% of consideration value	Kaveri Online / SHCIL
Delhi (NCT)	2% of average annual rent (min ₹100 e-stamp for basic 11M)	2% of total lease rent + 1% registration	SHCIL Delhi E-Stamping
Tamil Nadu	1% of total rent + deposit (max ₹20,000 residential)	1% of rent + advance; 1% registration	TNREGINET Portal
Uttar Pradesh	2% of average annual rent for residential up to 1 year	4% consideration; 2% registration	IGRSUP / SHCIL

The Statutory Danger of Section 35: Under-Stamping Penalty

Under Section 35 of the Indian Stamp Act, 1899, any agreement executed on insufficient stamp paper is legally inadmissible in evidence before any civil court or arbitrator. If a dispute arises over unpaid rent or eviction:

The judge will immediately impound the agreement.
The defaulting party will be ordered to pay the deficit stamp duty plus an impounding penalty of up to 10 times the unpaid amount before the lawsuit can proceed.
In Maharashtra, executing an unregistered leave and license agreement attracts penal liability under Section 55 of the Maharashtra Rent Control Act.

Frequently Asked Questions

Who is legally responsible for paying stamp duty: landlord or tenant?

Under Section 29 of the Indian Stamp Act, the tenant/licensee is primarily responsible for stamp duty in the absence of an agreement to the contrary. However, in urban residential practice across Bengaluru, Mumbai, and Delhi, the landlord and tenant customarily split the stamp duty and registration expenses equally (50:50).

Why are rent agreements drafted for exactly 11 months?

Under Section 17(1)(d) of the Registration Act, 1908, leases of immovable property for any term exceeding 11 months (12 months or more) are compulsorily registrable at the Sub-Registrar's Office. An 11-month agreement avoids high registration charges and Sub-Registrar visits in most states (except Maharashtra, where registration is mandatory for all durations).

How can I verify the authenticity of an e-stamp certificate?

Every e-stamp paper issued through SHCIL features a unique Certificate Number and QR Code. You can visit the official SHCIL portal (shcilestamp.com) or scan the QR code with your mobile camera to verify the certificate's issue date, first party, second party, and stamp duty amount paid.