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Is LBT applicable on ancestral property developed by builder


11-May-2023 (In Property Law)
Please advice, whether LBT is applicable on ancestral property developed by the builder. We had a bangalow in Nashik which was given to builder for development and the builder gave us THREE flats in lieu. However, while doing the reginstration of the flat at Sub-Registrar, Nashik, it was told to pay LBT on the said property in addition to the stamp duty. I understand that the LBT is abolished by the Government. Even earlier the LBT was charged on the purchase whereas I have not purchased the property but only received the flat in lieu of the development of my ancestral property. I belong to HINDU religion.
Answers (1)

Answer #1
883 votes
Dear Querist, First of all Religion has nothing to do with contractual transactions.
Please check your development agreement, if the delivery of three flats is part of consideration under the development agreement, then you dont need to pay the stamp duty also. Please get it checked. Further, although LBT is abolished almost all Municipal Corporations execpt MUMBAI corporation levy 1% surcharge.

Please feel to contract us for any further queries.

Regards,
Rakesh V. Misar
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