Property registration confers formal legal recognition to a real estate transaction. The stamp duty and registration fees payable depend on Minimum Value Rates (MVR / Circle Rates) fixed by the district collectorate.
The Minimum Value Rate (MVR) sets the baseline price per decimal or square foot below which land cannot be registered. Even if you purchase at a lower negotiated price, stamp duty is payable on the MVR valuation.
Typically, stamp duty is approximately 5% to 6% in Bihar and 4% to 5% in Jharkhand, with an additional 2% registration fee. Concessions of 0.5% to 1% are frequently offered when property is registered in the name of a female family member.
Stamp duty rates are periodically revised by state finance departments. Always verify current circle rates with the Sub-Registry before preparing e-stamps.