Stamp duty is the largest single cost on top of a flat's price, and Karnataka changed it in 2025. The registration fee was doubled, and there has been talk through 2026 of a revision to guidance values. This article is deliberately narrow: it covers Karnataka only, shows the arithmetic for a ₹1.5 crore flat, and flags what we could not verify. For a cross-state comparison see our existing stamp duty articles.

The rates as reported

  • Stamp duty slabs: up to ₹20 lakh, 2 percent; ₹20 lakh to ₹45 lakh, 3 percent; above ₹45 lakh, 5 percent (HomeFirst, 2026).
  • Registration fee: 2 percent of property value, doubled from 1 percent with effect from 31 August 2025, the first revision since 2003. The Department of Stamps and Registration issued the notification on 29 August 2025, per The South First (30 August 2025).
  • Total: The South First reported total transaction levy rising from 6.6 percent (5 percent stamp duty, 1 percent registration, 0.5 percent cess and 0.1 percent surcharge) to 7.6 percent. HomeFirst describes cess and surcharge as percentages of the stamp duty and quotes approximately 7.5 to 7.6 percent in total for property above ₹45 lakh. Components vary by how a source expresses them; the total is consistent.
  • Which value is taxed: the higher of the sale consideration or the guidance value (HomeFirst).
  • Government motivation: the department cited revenue shortfalls, with collections of ₹22,500 crore against a ₹26,000 crore target in 2024-25 (The South First).

The arithmetic on a ₹1.5 crore flat

Illustrative only, assuming the sale deed value is ₹1.5 crore, the guidance value is no higher, and total statutory charges are 7.6 percent:

  • Stamp duty at 5 percent: ₹7.5 lakh.
  • Registration fee at 2 percent: ₹3 lakh.
  • Cess and surcharge at about 0.6 percent as per The South First's breakdown: about ₹90,000.
  • Total: about ₹11.4 lakh, or 7.6 percent of ₹1.5 crore.
  • Before the 2025 change the same flat would have cost about 6.6 percent, or ₹9.9 lakh: the registration fee change added about ₹1.5 lakh.
  • These figures exclude GST on under-construction homes, parking, club and other charges, and the legal fee.

Guidance value: what is confirmed and what is not

Guidance value is the government's minimum assessed value per area, and it sets a floor for stamp duty. The last revision we could confirm from an official-sourced reference was effective 1 October 2023, according to the Inspector General of Registration's 2023 to 2024 annual report as cited by VaultProptech.

In 2026, reports have circulated of further revisions. PropNewz reported that a 10 to 15 percent hike had been proposed, reportedly effective 1 April 2026, but that as of 7 May 2026 it had not been notified in the Karnataka gazette. Other aggregators describe a February 2026 revision of 6 to 15 percent in Bengaluru urban limits and an April 2026 announcement of zone-wise increases of 12 to 30 percent. These accounts conflict and we could not find a gazette notification, so we do not state a confirmed revised rate. Check the live rate for your property on the Kaveri portal (kaveri.karnataka.gov.in) before you sign.

How guidance value changes your bill

  • If you buy at or above the guidance value, stamp duty is on your price, and a guidance revision does not change your bill.
  • If you buy below the guidance value, stamp duty is on the guidance value. A rise in guidance value would increase the taxed value on such a deal.
  • Under-construction flats are usually valued on the agreement price; check how the sub-registrar treats the construction agreement and sale deed, since the land and the built-up portion may be assessed separately in some structures. Ask your lawyer to run the number before registration.

A cost-planning checklist

  • Budget 7.6 percent for statutory charges on top of the price, plus GST on under-construction homes.
  • Ask the builder or seller which value the sale deed will carry, and compare with the Kaveri guidance value for the survey or property.
  • Pay stamp duty and registration through the official Kaveri system or authorised e-stamping channels and keep the receipts.
  • Plan for the cash: statutory charges are generally paid upfront and are not part of a standard home loan, so consult your lender.

Our view

Buyers should treat 7.6 percent as the working figure for a flat above ₹45 lakh in Karnataka and then verify the guidance value on Kaveri for the actual property. The registration fee increase is a confirmed, one-time step; the guidance value story is less settled, and it is best handled by checking the live record rather than relying on a forecast.