Basic facts about Sub registrar guidance value in Bangalore 2022

The terms guidance value or guideline value are used interchangeably and refer to the same value. Different states may use one or the other. People may usually search for one or the other term, depending on which state they belong to. Other names by which people usually identify guidance value Bangalore or guideline value bangalore, include ‘Ready Reckoner rate’ or RR rate, which is widely used in states like Maharashtra and ‘Circle Rate’, which is a term often used in Delhi, Noida, etc.

Some of the facts about the guideline value Bangalore are:

Guidance value or guideline value is like a fixed price of the property. It cannot go below this value.Even if you buy a property at a lower value, you will still be required to pay the stamp duty at the guidance value. Not just that, Section 56(2)(vii)(b) of the Income Tax Act, 1961 says that if stamp duty value exceeds the purchase consideration, then, the difference between the stamp duty value and the purchase consideration will be treated as Income from other Sources.If the sale of the property has happened at a higher value than the BBMP guidance value 2021, registration takes place as per the higher value.A well-developed and established locality may have a higher guidance value. The same value will be lower in areas that are early-on in the development cycle.Note that guidance value is just a benchmark. A home buyer cannot persuade the property seller to sell at the guidance value.The property can be sold at any price between the guidance value and the market value, if the latter is higher, without any additional tax implications.If you see a property being sold for less than the guidance value, check its documentation and details. The developer may be doing so to save on tax.Courtesy : housing.com



Now that you are familiar with the term, let us see how such values are calculated. Let’s take the example of Bengaluru.

One should check the latest guideline value Bangalore before investing in a property in the city. When getting property transactions registered at the sub registrar office, sub registrar guidance value in Bangalore 2022 will help determine the stamp duty and registrations charges you will be paying.