Free calculator · West Bengal
Rent Agreement Cost and Rental Yield Calculator (West Bengal)
Work out the stamp duty and registration fee on a West Bengal rent agreement from the rent and term, then check the gross and net rental yield on a flat or house.
Quick answer: A West Bengal lease of over 1 year and up to 10 years pays the conveyance rate (6% urban, 5% rural) on twice the average annual rent, plus a registration fee. An 11-month agreement pays bond-rate duty of about 4% of the total rent.
Rent agreement (lease) cost
| Monthly rent | ₹25,000 |
|---|---|
| Term | 24 months (over 1 year) |
| Total rent over the term | ₹6,00,000 |
| Average annual rent | ₹3,00,000 |
| Non-refundable premium | ₹0 |
| Area type | Corporation / municipal area |
| Rule used | Article 35(a)(ii): term over 1 year, up to 10 years |
| 2 x average annual rent: ₹6,00,000 | 6% = ₹36,000 |
| Registration fee: 1% of ₹6,00,000 (minimum ₹50) | ₹6,000 |
| TDS the tenant deducts (s.194-IB) | None (rent not above ₹50,000 a month) |
A lease for more than one year must be registered (Registration Act, section 17). The registration fee falls under Article A(1) of the West Bengal Table of Fees (1%, minimum ₹50). The official page does not state the value it is charged on for leases, so this uses the same value as the stamp duty. Confirm at your registration office.
Rental yield
| Property price or value | ₹60,00,000 (₹60 lakh) |
|---|---|
| Rent for 12 months | ₹2,16,000 |
| Less rent lost to 1 vacant month | ₹18,000 |
| Rent collected | ₹1,98,000 |
| Less maintenance | ₹24,000 |
| Less property tax | ₹3,000 |
| Less insurance | ₹2,000 |
| Net income a year | ₹1,69,000 |
| Price as years of gross rent | 27.8 years |
Net yield here is before income tax, loan interest, repairs and brokerage. Compare it with what the same money earns in a fixed deposit, after tax.
The numbers filled in are examples, not BPI data. Replace them with your own rent, term, price and costs. Find property tax on your municipal bill and maintenance from the society or the owner.
How the rent agreement cost is calculated
A rent agreement is a lease under Article 35 of Schedule IA of the Indian Stamp Act, 1899, as applied to West Bengal. "Lease" includes any agreement to let. The duty depends on the term:
| Term (rent, no premium) | Stamp duty |
|---|---|
| Up to 1 year (11-month agreement) | Same as a bottomry bond (Art. 16), which is the bond rate (Art. 15) on the whole rent: ₹40 on the first ₹1,000, then ₹20 per ₹500 or part (about 4%) |
| Over 1 year, up to 10 years | Conveyance rate on 2 x average annual rent |
| Over 10 years, up to 30 years | Conveyance rate on 3 x average annual rent |
| Over 30 years, or renewed | Conveyance rate on the market value of the property |
The conveyance rate (Article 23) is 6% in corporation, municipal and notified areas and 5% in panchayat areas. It is 7% and 6% when the value is above ₹1 crore. With a non-refundable premium, the conveyance rate is also charged on the premium, on top of the duty on the rent (Article 35(c)). For over 30 years with a premium, duty is the higher of the conveyance duty on the market value and on 3 x average annual rent plus the premium.
Average annual rent = total rent over the term ÷ number of years. With a fixed rent, that is the monthly rent x 12.
The registration fee is under Article A(1) of the West Bengal Table of Fees: 1% with a minimum of ₹50. The official page does not say which value it is charged on for a lease, so the calculator uses the same value as the stamp duty and labels it an estimate.
Worked examples
2-year lease in Kolkata at ₹25,000 a month, no premium. Average annual rent = ₹25,000 x 12 = ₹3,00,000. Twice that is ₹6,00,000. Stamp duty = 6% of ₹6,00,000 = ₹36,000. Registration fee (estimate) = 1% of ₹6,00,000 = ₹6,000. Total ₹42,000, plus the user charge. The lease must be registered.
11-month agreement at ₹25,000 a month. Total rent = ₹2,75,000. Bond-rate duty = ₹40 + ₹20 x 548 (the ₹2,74,000 above ₹1,000, in ₹500 steps) = ₹11,000. Registration is optional; if registered, the fee estimate is ₹2,750.
Yield on a ₹60 lakh flat let at ₹18,000 a month. Gross yield = ₹2,16,000 ÷ ₹60,00,000 = 3.6%. With 1 vacant month, ₹24,000 maintenance, ₹3,000 property tax and ₹2,000 insurance a year: rent collected ₹1,98,000, net income ₹1,69,000, net yield 2.82%. For a 4% net yield, the rent would need to be (₹2,40,000 + ₹29,000) ÷ 11 = about ₹24,455 a month.
TDS on rent above ₹50,000 a month
An individual or HUF tenant who is not under tax audit and pays rent above ₹50,000 a month must deduct 2% TDS (Section 194-IB of the Income-tax Act, 1961, now part of section 393 of the Income-tax Act, 2025). The rate was cut from 5% to 2% from 1 October 2024. The tenant deducts it once a year, from the last month's rent of the tax year or of the tenancy, and deposits it with Form 26QC. No TAN is needed. If the landlord has no PAN, the rate is 20%, limited to the last month's rent. Businesses and tenants under tax audit follow a different section, which this calculator does not cover.
How rental yield is calculated
Gross yield = (monthly rent x 12) ÷ price x 100.
Net yield = (monthly rent x (12 − vacant months) − maintenance − property tax − insurance) ÷ price x 100.
Rent needed for a target net yield = (target % x price + yearly costs) ÷ (12 − vacant months).
Sources and dates
- Directorate of Registration and Stamp Revenue, West Bengal: Rate of stamp duty and registration fees on some important instruments (item 8, Lease, Article 35; Article A(1) registration fee). Page last updated 20 May 2025; read 15 October 2026.
- The Indian Stamp Act, 1899, West Bengal consolidated text (December 2018): Article 15 (Bond), Article 16 (Bottomry Bond), Article 35 (Lease). No later change to Articles 15 or 16 was found in the West Bengal Finance Acts 2020, 2021 and 2024 published on the same site.
- Directorate of Registration and Stamp Revenue, FAQs: documents that must be registered, including leases over one year (Registration Act, 1908, section 17).
- Income-tax Department: TDS on rent by individuals and HUFs (Section 194-IB), 2% from 1 October 2024 under the Finance (No. 2) Act, 2024. See incometax.gov.in.
Rates checked on 15 October 2026. The registering officer assesses the final duty and fee. Confirm both at your registration office, and see the stamp duty calculator for property purchases.
Frequently asked questions
What is the stamp duty on an 11-month rent agreement in West Bengal?
A lease of up to one year pays the same duty as a bottomry bond (Article 35(a)(i) read with Articles 16 and 15 of the Indian Stamp Act as applied to West Bengal): ₹40 on the first ₹1,000 of total rent and ₹20 for every ₹500 or part above it, about 4% of the rent for the whole term. For ₹25,000 a month for 11 months that is ₹11,000. Confirm the amount at your registration office, because many agreements are signed on low-value stamp paper in practice.
What is the stamp duty on a 2-year or 3-year lease?
For a term over 1 year and up to 10 years, duty is the conveyance rate on twice the average annual rent: 6% in corporation and municipal areas (5% in panchayat areas). At ₹25,000 a month that is 6% of ₹6,00,000, or ₹36,000, in Kolkata.
Does the security deposit count for stamp duty?
A refundable security deposit does not. Article 35 counts only a non-refundable premium, fine or security charge. If part of the deposit is not returned under the agreement, enter that part as the premium.
Does an 11-month rent agreement need to be registered?
No. The Registration Act makes registration compulsory for leases over one year, from year to year, or reserving a yearly rent. An 11-month agreement is often not registered, but it must still carry the correct stamp duty to be used as evidence.
When must a tenant deduct TDS on rent?
An individual or HUF tenant not under tax audit deducts 2% when the rent is above ₹50,000 a month (Section 194-IB of the 1961 Act, now within section 393 of the Income-tax Act, 2025). The rate fell from 5% to 2% on 1 October 2024. It is deducted once a year, from the last month's rent or on vacating.
What is a good rental yield for a flat in Kolkata?
There is no official benchmark. Gross yield is the yearly rent divided by the price. Net yield also takes off vacancy, maintenance, property tax and insurance. Compare the net figure with what the same money would earn after tax elsewhere.
Rates and conventions last checked: .