The Sindh government (SRB) has introduced revised stamp duty rates for the acknowledgment or receipt of money or any other consideration related to immovable properties, effective from July 1, 2024, as per the Sindh Finance Act, 2024.
The new rates are structured to vary based on the amount involved:
1. For amounts up to Rs 50,000, the stamp duty has been fixed at Rs 10.
2. Amounts exceeding Rs 50,000 but not exceeding Rs 200,000 will incur a stamp duty of Rs 20.
3. Transactions involving amounts exceeding Rs 200,000 but not exceeding Rs 500,000 will be subject to a stamp duty of Rs 50.
4. For transactions involving amounts exceeding Rs 500,000 but not exceeding Rs 1 million, the stamp duty rate is set at Rs 100.
5. Amounts exceeding Rs 1 million but not exceeding Rs 2.5 million will attract a stamp duty of Rs 500.
6. Transactions involving amounts exceeding Rs 2.5 million but not exceeding Rs 5 million will be subject to a stamp duty of Rs 1,000.
7. Transactions exceeding Rs 5 million will incur a stamp duty of Rs 2,000.
These revised rates aim to streamline the process of property transactions in Sindh while ensuring fair revenue collection for the provincial government. The adjustments reflect considerations of transaction size, aiming to facilitate smaller transactions with lower stamp duty rates while maintaining proportional rates for larger transactions.The Sindh government’s initiative to update stamp duty rates aligns with efforts to enhance transparency and efficiency in property transactions across the province. Stakeholders involved in real estate transactions are advised to adhere to these new rates to avoid any legal implications.
Implementation:
The implementation of these revised stamp duty rates is expected to have implications on property markets in Sindh, influencing transaction volumes and overall revenue generation for the provincial exchequer. As these rates come into effect, market participants and taxpayers are encouraged to familiarize themselves with the updated regulations to ensure compliance and facilitate smooth transaction processes.
