Release Deed Stamp Duty in Karnataka (2026 Charges Guide)

Complete guide to release deed stamp duty in Karnataka as of March 2026. Learn charges for family and non-family transfers, calculation methods, and registration process.
Quick Summary (TL; DR)
As of March 2026, stamp duty on a release deed in Karnataka ranges from 1% to 2% of the property value when executed among family members. For non-family transfers, charges may go up to 5% of the market value, similar to a sale deed. Registration charges are 2% of the property value, revised from 1% effective August 31, 2025. The total cost depends on relationship, property value, and guidance value.
What Is a Release Deed?
A release deed is a legal document through which a co-owner voluntarily relinquishes their share in a property in favour of another co-owner.
It is typically used in:
Family property settlements
Inherited property division
Joint ownership exit
Once executed and registered, the receiving party becomes the full or increased owner of the property.
Also Read: What is release deed in Karnataka (In Detail).
When Is a Release Deed Used?
A release deed is applicable only when there is existing joint ownership.
Scenario | Purpose |
Inherited property | One heir releases share to another |
Divorce settlement | One spouse transfers ownership rights |
Joint purchase | One co-owner exits ownership |
Family settlement | Property consolidated under one member |
It cannot be used for transferring property to unrelated parties without consideration such cases are treated differently under stamp duty laws.
Stamp Duty on Release Deed in Karnataka (As of March 2026)
Stamp duty depends on whether the transfer is between family members or non-family members. Stamp Duty Based on Relationship:
Category | Stamp Duty Rate | Applicable Condition |
Family Members | 1% to 2% of property value | Blood relatives / defined family |
Non-Family Members | Up to 5% | Treated similar to sale deed |
Who Qualifies as Family?
Under Karnataka norms, family typically includes:
Spouse
Parents and children
Siblings
Transfers within this group attract concessional stamp duty.
Registration Charges on Release Deed (As of March 2026). Registration charges are applicable regardless of relationship. The registration fee is 2% of the property value, revised from 1% to 2% effective August 31, 2025.
Total Cost of Release Deed in Karnataka
The total cost includes stamp duty + registration charges.
Example Calculation:
Property Value | Stamp Duty (2%) | Registration (2%) | Total Cost |
₹50 lakh | ₹1,00,000 | ₹1,00,000 | ₹2,00,000 |
₹80 lakh | ₹1,60,000 | ₹1,60,000 | ₹3,20,000 |
₹1 crore | ₹2,00,000 | ₹2,00,000 | ₹4,00,000 |
For non-family transfers, stamp duty may increase to 5%, significantly increasing total cost.
How Is Stamp Duty Calculated on Release Deed?
Stamp duty is calculated on:
The market value (guidance value) of the property
Or the value of the share being released, whichever is applicable
Example:
Ravi and Priya jointly own a property worth ₹1 crore. Ravi releases his 50% share to Priya.
Component | Calculation | Amount |
Share Value | 50% of ₹1 crore | ₹50,00,000 |
Stamp Duty (2%) | 2% of ₹50 lakh | ₹1,00,000 |
Registration (2%) | 2% of ₹50 lakh | ₹1,00,000 |
Total | ₹2,00,000 |
Important Legal Points for Release Deed
Must be executed between co-owners only
Requires registration at Sub-Registrar Office
Must be signed by all parties and witnesses
Becomes legally valid only after registration
Unregistered release deeds may not be legally enforceable in property disputes.
What is the Difference Between Release Deed and Gift Deed
Factor | Release Deed | Gift Deed |
Applicable Parties | Co-owners only | Any individual |
Purpose | Relinquish share | Transfer ownership |
Stamp Duty | Lower (family cases) | Fixed or % based |
Consideration | Not mandatory | No consideration |
Understanding this difference is important for selecting the correct legal document.
How to Register a Release Deed in Karnataka?
Step 1: Draft the Release Deed
Include:
Property details
Ownership share
Names of parties
Consideration (if any)
Step 2: Calculate Stamp Duty
Use the applicable rate based on relationship and property value.
Step 3: Pay Stamp Duty
Payment can be made via:
Kaveri Online Services portal
Khajane-2 portal
Step 4: Visit Sub-Registrar Office
Carry:
Draft deed
ID proofs (Aadhaar, PAN)
Property documents
Step 5: Biometric Verification and Registration
All parties must be present for:
Signature
Thumb impression
Verification
Step 6: Collect Registered Document
The registered release deed is issued after verification.
Mistakes to Avoid:
Using release deed for non-co-owners
Incorrect valuation of share
Not checking guidance value
Skipping registration
Drafting without legal review
These can lead to rejection or legal complications.
How Vault Proptech Helps With Property Documentation
Release deeds involve legal ownership changes and must be handled carefully. Incorrect documentation or valuation can lead to disputes or financial loss.
Vault assists with:
Ownership and title verification
Stamp duty calculation as per latest rates
Drafting and reviewing release deeds
End-to-end registration support
Khata and record updates after transfer


