UP Cuts Stamp Duty on Rent Agreements Up to 10 Years With New Slabs

Uttar Pradesh | September 17, 2026: Landlords and tenants in Uttar Pradesh could see a sharp reduction in the cost of registering long-term rental agreements after the state Cabinet approved a revised structure of stamp duty and registration fees for leases of up to 10 years.
The move is aimed at making formal tenancy agreements more affordable, encouraging registration and reducing disputes between property owners and tenants. The concessional rates can reduce the cost of some long-term lease registrations by nearly 90%.
New Stamp Duty Slabs for Rental Agreements
Under the revised structure, the applicable charges will depend on the average annual rent and the duration of the agreement.
| Average Annual Rent | Up to 1 Year | More Than 1 to 5 Years | More Than 5 to 10 Years |
|---|---|---|---|
| Up to ₹2 lakh | ₹1,000 | ₹2,000 | ₹4,000 |
| Above ₹2 lakh to ₹6 lakh | ₹3,000 | ₹6,000 | ₹8,000 |
| Above ₹6 lakh to ₹10 lakh | ₹4,500 | ₹10,000 | ₹13,000 |
The same amounts will apply as registration fees, according to the reported revised structure.
Tenants and Landlords Could Save Significantly
The reduction could make formal registration considerably cheaper for both parties.
For example, a one-year rental agreement for a property with annual rent of up to ₹2 lakh would carry ₹1,000 in stamp duty and ₹1,000 in registration fees, taking the combined cost to ₹2,000.
Under the earlier structure, the cumulative cost was reported to be around ₹10,000.
For a 10-year lease with average annual rent of up to ₹10 lakh, the combined registration-related cost is reported to fall from around ₹20 lakh to ₹26,000.
What Happens When Annual Rent Exceeds ₹10 Lakh
The concession also covers rental agreements where the average annual rent exceeds ₹10 lakh, but only for the first ₹10 lakh of annual rent.
The portion exceeding ₹10 lakh will continue to attract the existing applicable rates.
The government has also clarified that the concession does not apply to toll and mining leases.
Why the UP Government Changed the Structure
High registration costs have often discouraged parties from formally registering rental agreements, according to the report.
Some landlords and tenants have instead relied on unregistered agreements or notarial arrangements, which can create complications when disputes arise over rent, possession or eviction.
The revised fee structure is intended to support implementation of the Uttar Pradesh Regulation of Urban Premises Tenancy Act, 2021, while encouraging more tenancy agreements to enter the formal registration system.
How Registration Can Protect Property Owners and Tenants
A formally registered tenancy agreement provides documented terms covering the rental arrangement and can become important when disputes arise.
Legal experts cited in the report said the proposed changes could strengthen the rights of both landlords and tenants by encouraging formal lease transactions and enabling tenancy disputes to be handled through the appropriate legal mechanism.
For property owners, registration can provide clearer documentation of the tenancy. For tenants, it can establish a formal record of agreed terms and occupancy.
What Property Owners and Tenants Should Check
Before signing a long-term rental agreement, both parties should verify the annual rent, lease duration, applicable stamp duty and registration fee under the revised structure.
They should also ensure that the agreement accurately records key terms such as rent, security deposit, duration, renewal conditions and responsibilities of both parties.
What Happens Next
The revised fee structure is expected to support wider registration of tenancy agreements across Uttar Pradesh by lowering the financial barrier to formal leases.
For landlords and tenants considering agreements of up to 10 years, the key change is that registration can become substantially more affordable, particularly for properties falling within the concessional rent slabs.