Stamp duty

As per your query, let me tell you that a stamp duty is an amount that the parties involved in a transaction have to pay to government bodies (these could be civic or development bodies) with an intent to get the documents registered in records of the State Government. However, along with the stamp duty charges they are also liable to pay registration charges as well. For the purpose of registration a stamp paper of Rs.100 or 200 can be utilized for rental agreements made for a tenancy period of 11 months or less. 

See, basically stamp duties of agreements vary in each state but a common method is utilized to calculate the stamp duty payable on a rental agreement. 

• Monthly rental x No. of months = A
• Advance rent for the period (i.e. non-refundable deposit) = B
• 10% x Refundable deposit x No. of years of the agreement = C
• Thus, Total amount subjected to stamp duty = D = A+B+C
• Hence, Stamp Duty = E = 0.25% x D 

Usually, the 11 months tenancy agreement is the most common rent agreement where registrations can be usually skipped, since it is the longest without mandatory registration.

Moreover, on 14th March, 2016 the State of Bihar fixed Rs.200 only as the stamp duty payable on Agreement Deeds for Rs.50000/- for non-agricultural purposes.

I've laid down few links below, do have a look at it in order to attain more input on the matter -

• Bihar Buildings (Lease, Rent and Eviction) Control Act, 1947
• Bihar Chamber of Commerce & Industries

Hope It Helps!

Regards,

Kevin M. Paul