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THE BUNDI URBAN CO.OP. BANK LTD.

  • Bank Time:-MON - SAT(10:00AM - 5:00PM)

    Cash Transection Time:-MON - SAT(10:00AM - 4:00PM)

    Sunday colsed

  • MAIL US

    ho@bundiucb.com

  • PHONE US

    0747-2444074

  • PHONE US

    9783564483

FRANKING/STAMP Service



What is FRANKING ?

You’ve probably seen postal envelopes with stamp denominations many times. Sometimes, instead of actual stamps, you’d find a print that looks like a stamp, but with a denomination on it. This is usually used by the post office for bulk mails (such as magazines) where sticking stamps is time consuming. This is called postal franking.



What is STAMP?

Stamp duty is a tax that is levied on legal documents, including those that involve the sale of immovable property. The amount of stamp duty could either be fixed or it could be a percentage of the sale value in the case of property documents.



What are the charges for franking?

  • Franking charges differ from one state to another. Each state will have its own minimum amount that needs to be paid for franking. While some charge a flat fee, there are others that charge a percentage of the sale value in case of property documents.
  • However, franking charges are usually only a fraction of stamp duty charges and are sometimes adjusted against stamp duty charges. For example, the minimum franking charge is pegged at 0.1% of the sale value for property documents in Bengaluru.
  • So, if you decide to buy a house for Rs. 60 lakhs, you will have to pay 0.1% or Rs. 6,000 as franking charges. You can adjust this against the stamp duty that you need to pay. Suppose the stamp duty for the agreement is 4.5%, then, you will have to pay only 4.4%. Note that for simple transactions, the franking charges can be as low as Rs. 50.