Noida: The UP government is set to discontinue physical stamp papers of Rs 10,000 to Rs 25,000 and replace them with e-stamps. A notification will be issued soon, following the cabinet’s approval of the proposal by the Stamp and Registration Department. The government believes this move will curb irregularities and increase transparency. Currently, treasuries hold unused physical stamp papers worth Rs 5630.87 crore, with declining sales of physical stamps over Rs 5,000. 

A committee recommended destroying these stamps

The cabinet decided to discontinue the physical stamps and destroy the remaining stock after a set date, preventing misuse. Stamp and Registration Minister Ravindra Jaiswal confirmed that the notification will be released shortly. 

Stamps purchased before the date of notification can be used or returned only till March 31, 2025

According to Minister of State (Independent Charge) for Stamps and Registration Ravindra Jaiswal, if anyone has stamp papers worth Rs 10,000 to Rs 25,000 that could not be used,  a return will be ensured to avoid any loss. The printing and transportation of these physical stamps cost approximately Rs 7 crore, which will be saved using e-stamps.

Noida homebuyers are likely to face problems as physical non-judicial stamp papers are set to become invalid after March 31

Homebuyers, many of whom purchased the documents years ago at the builders’ insistence for registration of their flats, have raised concerns. According to the buyers, the 15-day window granted to return the papers was too short as they could not get their hands on these documents, many of denominations above Rs 2 lakh, within the deadline.

In its March 11, 2025 notification, UP has agreed to refund the fee for stamp

Papers of denomination between Rs 10,000 and Rs 25,000 after deducting a 10 per cent charge till the deadline.

Homebuyers met ADM

A group of homebuyers from Apex Golf Avenue in Greater Noida West, who met ADM (finance and revenue) Atul Kumar on Friday, want the govt to reimburse the total sum or permit them to use the stamp papers beyond March 31.

Homebuyers in my society purchased stamp duty papers worth Rs 2.5 to Rs 3 lakh each in 2019 and handed them over to the builder. Of 730 flats, almost everyone bought stamp papers. About 50 per cent opted for e-stamps, but the rest of us will be affected by the new rule

Rohit Mishra, Resident, Apex Golf Avenue

Till Dec 2024, around 7,000 flats across 34 projects that opted for UP’s relief package were yet to be registered. None of the 730 flats in Apex Golf are registered.

Abhishek Kumar, NEFOWA, President informed Apartment Times that more than Rs 100 crore worth of stamp papers could be affected following the government’s new directive.

If an average buyer purchased stamp papers worth Rs 2 lakh, then with at least 50,000 affected homebuyers, the total amount stuck is Rs 100 crore. It could be even higher. If we don’t return these stamp papers within 10 days, they will become worthless.

Abhishek Kumar, President, Nefowa

Stamp duty is around 6 per cent to 7 per cent of the total cost of a flat. An additional 1 per cent of the total cost is charged as a processing fee.

We, the team of Apartment Times, met Bhola Shankar Verma, Assistant Inspector, Greater Noida to discuss this prevailing issue. We asked him the questions that every homebuyer has in their mind right now.

AT Q. : What’s the status of physical stamp papers with denominations of ₹10,000 and ₹25,000, valid till March 31? Are there any guidelines for e-stamp papers?

This is the decision of the Government, that the stamp which is purchased from the treasury, should be stopped and e- stamp should be encouraged. Regarding this, a directive has been issued in March.

Bhola Shankar Verma, Assistant Inspector, Surajpur, Greater Noida

Q: How can an individual change physical stamp paper to an e-paper? Is there a 10% charge for conversion?

A common man who has purchased stamps worth 10,000 to 25000 has two options. Either use them before March 31, 2025. If in any case, they are unable to use it, they can return it to our office and the amount will be refunded. There is a procedure for this. The person seeking this shall come to the office after registration with all the needed documents, the 10% amount of the total cost will be deducted and the remaining 90 % will be refunded in the same account from the account they purchased it. But the better option is they use it before March 31, 2025.

Bhola Shankar Verma, Assistant inspector

Q: If a builder asks for a sub-lease, will stamp duty be required for doing the registry again?

When we purchase any asset, two types of delayed instruments can be registered. One is that the nature of the document can be a sale agreement, and can be registered. Another one is to get it in pursuance of the sale agreement as a sales deed. The common man has both benefits, he can get a sale agreement and later can execute a sales deed in pursuance. 

Bhola Shankar Verma, Assistant Inspector

 Q: Is there a time limit to convert the sub-lease to registry?

No there is no time limit, it’s a mutual understanding of buyer and seller.

Bhola Shankar Verma, Assistant Inspector

This is the process for returning the physical stamp sequence of the list of documents submitted for the return of physical Stamp papers.

Note:

1. Make a photocopy of the above entire set and submit both.

2. ⁠Make a copy of serial number 1 for the receiving (when you submit documents at the AIG-II office.

Note down the address

Office of AIG, STAMPS II, 1st floor, Treasury office, near SBI, Collectorate, Surajpur, Greater Noida