UP Cuts Rental Agreement Fees Fivefold as Landlords and Tenants Get Major Relief

Uttar Pradesh has approved lower stamp duty and registration fees for rental agreements, cutting the combined charge to ₹2,000 for annual rent up to ₹2 lakh.
UP Cuts Rental Agreement Fees Fivefold as Landlords and Tenants Get Major Relief

Lucknow, Uttar Pradesh | September 22, 2026: Landlords and tenants in Uttar Pradesh could see a sharp reduction in the cost of registering rental and lease agreements after the state cabinet approved revised stamp duty and registration charges. For a one-year agreement with annual rent of up to ₹2 lakh, the combined charge will fall to ₹2,000 from ₹10,000 earlier.

The move is aimed at bringing UP's rental registration costs closer to those in other states and encouraging more landlords and tenants to use formal registered agreements instead of cheaper informal or notarial arrangements.


Rental Agreement Cost Falls From ₹10,000 to ₹2,000

Under the revised structure, a one-year rental agreement for property with annual rent of up to ₹2 lakh will attract:

  • ₹1,000 stamp duty
  • ₹1,000 registration fee
  • ₹2,000 total cost

The earlier combined charge was ₹10,000, making the new fee approximately one-fifth of the previous amount.

For longer agreements in the same rent bracket, the total charge will be ₹2,000 for more than one year and up to five years, and ₹4,000 for agreements beyond five years and up to 10 years.


New Charges Across Higher Rent Slabs

The revised framework also changes charges for properties with higher annual rental values.

Annual Rent Up to 1 Year         Above 1 to 5 Years              Above 5 to 10 Years
Up to ₹2 lakh ₹2,000 ₹2,000 ₹4,000
₹2 lakh–₹6 lakh ₹6,000 ₹6,000 ₹12,000*
₹6 lakh–₹10 lakh             ₹9,000 ₹20,000 ₹26,000*

*The figures above reflect the stated stamp-duty slabs with registration fees set equal to stamp duty under the cabinet-approved proposal; the final government order will determine the operative charges.

 


Why Landlords and Tenants Should Care

Lower registration costs could make formal rental agreements more attractive, particularly for households and landlords who previously avoided registration because of the expense.

A registered agreement creates a formal record of:

  • Rent payable
  • Agreement duration
  • Property-related terms
  • Rights and obligations of both parties

That documentation can become important if a dispute develops between a landlord and tenant.


UP Wants More Rental Agreements to Be Registered

Officials said the fee reduction is intended to encourage wider registration of rental agreements.

Under the Uttar Pradesh Regulation of Urban Premises Tenancy Act, 2021, letting or taking premises on rent is required to be through a written agreement. Landlords and tenants are also generally required to jointly inform the Rent Authority in the prescribed manner within two months, although residential tenancies of less than 12 months are exempt from this particular requirement.

The lower government charges could therefore reduce one of the financial barriers to formalising rental arrangements.

 


What Was Driving the Earlier Cost

According to the Stamp and Registration Department, the earlier structure included charges linked to annual rental value, including a registration fee of 1% and stamp duty of 2% of annual rental value in the cited circumstances.

Legal representatives have also pointed to the preference for inexpensive notarial arrangements as one reason some rental agreements were not formally registered.

The cabinet's decision seeks to change that cost equation.


What Happens Next for Property Owners

The cabinet approved the revised rates on September 15, but officials said the detailed government order was still awaited.

Landlords and tenants should therefore check the final notification before paying registration charges under the new structure. Once implemented, the lower fees could make registered rental agreements more accessible across residential and commercial rental markets in Uttar Pradesh.