Maharashtra To Launch Direct Transfer System For 1% Stamp Duty Funds To Local Bodies: ₹7,897 Crore Dues Pending
In a significant move to strengthen local self-governing bodies, the Maharashtra government will soon implement a new mechanism to ensure immediate and direct transfer of the 1% stamp duty fund collected through property registration, Revenue Minister Chandrashekhar Bawankule announced in the State Assembly.
The announcement came in response to a question raised by BJP MLA Randhir Savarkar, who highlighted delayed fund allocations to a local body in Akola. Bawankule revealed that Akola alone has pending dues of around ₹35 crore under this scheme, while the total backlog across the state has reached ₹7,897 crore.
“Currently, the 1% stamp duty is deposited into the state treasury and is allocated to local bodies only after budgetary provisions, often causing delays of 3 to 5 years,” Bawankule said. “To resolve this, the government plans to develop a system where the 1% amount is transferred directly to the concerned local authority’s bank account on the same day the stamp registration takes place.”
He added that a special meeting chaired by the Chief Minister and Deputy Chief Minister will soon be convened to finalize this operational framework.
Bawankule also compared the new model to the mining royalty system, under which 20% of royalty is allocated to villages where minerals are extracted. “Similarly, the 1% stamp duty fund must be disbursed without delay to strengthen local development,” he said.
Breakdown of Pending 1% Stamp Duty Funds (Statewide):
Municipal Councils: ₹970 crore
Municipal Corporations: ₹4,329 crore
Zilla Parishads, Gram Panchayats, etc.: ₹2,598 crore
Total: ₹7,897 crore
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