Short answer: If you are buying a flat above Rs 45 lakh in Bangalore, budget about 5.6% of the property value for stamp duty (5% duty plus cess and surcharge) and 2% for registration. That is roughly 7.6% on top of the price before GST, loan fees and other charges.
Last reviewed: October 2026. Rates change, so confirm the final numbers with your Sub-Registrar office or lawyer before you pay.
How stamp duty works in Karnataka
Stamp duty is a state tax you pay to make the sale legal. In Karnataka it has three parts:
| Part | Rate | On a Rs 1 crore flat |
|---|---|---|
| Stamp duty (above Rs 45 lakh) | 5% of value | Rs 5,00,000 |
| Cess | 10% of the duty | Rs 50,000 |
| Surcharge (urban) | 2% of the duty | Rs 10,000 |
| Total stamp duty | about 5.6% | Rs 5,60,000 |
For the first sale of a flat below Rs 45 lakh, lower slabs apply. Builders and banks commonly quote 2% up to Rs 20 lakh and 3% between Rs 21 lakh and Rs 45 lakh. These concessions have conditions, so check them for your exact unit before you plan your budget.
The duty is calculated on the higher of your agreement value or the government guidance value for that area. If you are getting a discount that takes the price below guidance value, the duty will still be on the guidance value.
Registration fee: now 2%
Karnataka doubled the registration fee from 1% to 2%, effective 31 August 2025 (K S and K summary of the notification). On a Rs 1 crore flat, that is Rs 2,00,000.
Many older blogs still say 1%. If someone quotes you 1%, their numbers are out of date.
Worked example: Rs 1 crore flat in Bangalore
| Cost | Ready-to-move | Under construction |
|---|---|---|
| Flat price | Rs 1,00,00,000 | Rs 1,00,00,000 |
| Stamp duty with cess and surcharge (5.6%) | Rs 5,60,000 | Rs 5,60,000 |
| Registration (2%) | Rs 2,00,000 | Rs 2,00,000 |
| GST | Nil (OC received) | Rs 5,00,000 (5%) |
| Total before other charges | Rs 1,07,60,000 | Rs 1,12,60,000 |
GST applies only to under-construction flats: 5% without input tax credit, or 1% for affordable housing (up to Rs 45 lakh and 60 sq m carpet area in metro cities). A ready-to-move flat with an Occupancy Certificate has no GST. Here is why ready flats skip GST and what else differs.
You can change these numbers for your own budget in our cost and EMI calculator.
Other costs buyers often forget
These vary a lot by project, so ask the builder for a written cost sheet that lists each one:
- Car parking charges, if not included in the base price
- Preferential location charges (PLC) for higher floors, park-facing or corner units
- Clubhouse and amenities charges
- Maintenance deposit and corpus fund, often 1 to 2 years of maintenance paid upfront
- Electricity and water connection deposits
- Legal and documentation fees, including your own lawyer's due diligence
- Home loan processing fees charged by the bank
A good rule: if a cost sheet only shows "base price + GST", it is incomplete. Ask for the all-inclusive figure.
TDS: not an extra cost, but your responsibility
If the property costs Rs 50 lakh or more, you must deduct 1% TDS from the payment to the seller and deposit it on the income tax portal. This was done with Form 26QB under Section 194-IA. Under the new Income-tax Act, 2025, the portal now uses a single challan-cum-statement, Form 141, so check the current form with your CA or bank before you pay. This is not an extra cost, since it comes out of the price you pay. But if you miss it, the penalty falls on you, the buyer. Your bank or CA can help you file it.
Can a home loan cover these costs?
Usually not. Banks lend against the property value. Stamp duty, registration and most other charges come from your own pocket. So when you plan your down payment, add about 8% to 13% of the price on top for these charges, depending on whether GST applies.
Quick checklist before you pay
- Ask the builder for a full cost sheet in writing
- Check the guidance value for the location on the Kaveri portal or with the Sub-Registrar
- Confirm whether your flat qualifies for a concessional stamp duty slab
- Plan the 1% TDS filing (Form 141, earlier Form 26QB) if the price is Rs 50 lakh or more
- Check the project's RERA number before you pay any booking amount
- Get a lawyer to review the sale agreement before registration
For the full buying process, read our apartment buying guide. If you want help comparing the real all-in cost of two or three projects, talk to our team on WhatsApp.
This article is for general information and is not legal or tax advice. Stamp duty concessions and fees are set by the Government of Karnataka and can change. Verify with the Sub-Registrar office, your lender or a qualified professional.
Sources: K S and K: Karnataka doubles property registration fee, Deccan Herald: registration fee hiked to 2%, Karnataka Department of Stamps and Registration, Mondaq: GST on flat purchase in India, Income Tax Department: TDS on buying property, Income Tax Department: Form 141.