Big relief for tenants & landlords in Uttar Pradesh: State govt slashes rent agreement charges by 90%

Rent agreement charges in Uttar Pradesh have undergone a drastic reduction, with the state government slashing stamp and registration fees by nearly 90%. The revised fee structure, cleared by the Cabinet recently, has now come into effect statewide after the official notification was issued on Wednesday. The new rates are applicable from Thursday (Nov 26) onward, marking one of the most significant overhauls of rent-related charges in the state.

A senior government official earlier told the Times of India that Uttar Pradesh earlier recorded an average of around 36,000 rent agreement registrations every year. Until now, tenants and landlords had to pay a 2% stamp duty, an additional 2% development fee, along with a 1% registration fee on rent agreements. With the new policy, the combined burden of these charges has been reduced by almost 90%, offering substantial relief to individuals entering rental contracts.

Under the revised structure, the fees are now tied to the annual rent and the duration of the lease. For properties with an annual rent of Rs 2 lakh, the stamp duty will range from Rs 500 to Rs 2,000, depending on the length of the lease, with the registration fee matching the same amount. For rental values between Rs 2 lakh and Rs 6 lakh per year, the stamp duty will fall between Rs 1,500 and Rs 7,500, again based on the tenure of the agreement, with an equal registration fee. In the category of Rs 6 lakh to Rs 10 lakh annual rent, the stamp duty will range from Rs 2,500 to Rs 10,000, with a corresponding registration fee.


The government has also introduced a cap, specifying that rental agreements exceeding Rs 10 lakh per annum will not be eligible for further fee calculations under the new rebate structure. Additionally, the reduced charges will not apply to agreements related to toll operations or mining leases, which have been explicitly excluded from this concession.