G.O. Ms. No. 60, Reduction of Stamp Duty and Maximum Registration Fees, 2020
The Government of Tamil Nadu, Commercial Taxes and Registration Department, issued G.O. Ms. No. 60, Commercial Taxes and Registration (J1), dated 16 March 2020, to amend two earlier notifications on stamp duty and registration fees. For mortgage deeds without transfer of possession that are executed to secure debentures, it sets maximum amounts of Rs. 10,00,000 for stamp duty and Rs. 1,00,000 for registration fees.
What the notification changes
G.O. Ms. No. 60, Commercial Taxes and Registration (J1), dated 16 March 2020, was issued by the Government of Tamil Nadu, Commercial Taxes and Registration Department. It adds provisos to earlier notifications concerning mortgage deeds covered by Article 40(b) of the Indian Stamp Act, 1899.
The amendments apply to a particular category of document:
- The document must be a mortgage deed where possession is not given or agreed to be given.
- The mortgage deed must be executed for the purpose of securing debentures.
Maximum stamp duty
The amendment made under the Indian Stamp Act, 1899 provides that:
- The maximum stamp duty payable on a qualifying mortgage deed is Rs. 10,00,000.
- The limit applies only to mortgage deeds described under Article 40(b) that are executed to secure debentures.
The Commercial Taxes and Registration Department amended its notification dated 12 February 2004, which had previously been amended by a notification dated 8 July 2009.
Maximum registration fee
The amendment made under the Registration Act, 1908 provides that:
- The maximum registration fee payable on a qualifying mortgage deed is Rs. 1,00,000.
- The fee limit applies to the same category of mortgage deed, namely a mortgage without transfer or agreement to transfer possession, executed to secure debentures.
The Commercial Taxes and Registration Department amended its separate registration fee notification dated 12 February 2004, which had also previously been amended on 8 July 2009.
Who is affected
G.O. Ms. No. 60 directly concerns persons and entities executing or registering mortgage deeds to secure debentures, where possession of the mortgaged property is not given or agreed to be given. It is also relevant to professionals calculating stamp duty or registration fees for such instruments.
The notification does not state that these maximum amounts apply to every mortgage deed. Both limits are expressly tied to mortgage deeds executed for securing debentures and falling within the stated Article 40(b) description.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
What is the maximum stamp duty for a mortgage deed securing debentures?
For a mortgage deed described under Article 40(b) of the Indian Stamp Act, 1899 and executed to secure debentures, the maximum stamp duty is Rs. 10,00,000.
What is the maximum registration fee for the same mortgage deed?
The maximum registration fee is Rs. 1,00,000 for a qualifying mortgage deed executed to secure debentures.
Does the notification apply when possession of the property is given?
No. The notification covers mortgage deeds where possession is not given or agreed to be given.
Does G.O. Ms. No. 60 replace the earlier notifications?
No. G.O. Ms. No. 60 amends the relevant notifications dated 12 February 2004, which had previously been amended by notifications dated 8 July 2009.
