Court fee is usually "ad valorem", a percentage of your claim's value, paid to the court to file a suit. Stamp duty is a separate state tax on certain documents, paid to make them legally valid. They're easy to confuse since both show up as government charges around the same transaction, but they serve different purposes and are calculated differently.
How is court fee actually calculated?
For most money claims, court fee is ad valorem, a percentage of your claim value or the suit's valuation, based on state-specific rate slabs (often with a cap at higher values). Some suits, a declaration or an injunction with no specific monetary claim, use a fixed fee instead of a percentage. Get your suit's valuation confirmed by your advocate before filing, since it directly determines what you pay.
Why does court fee differ by state?
The Court Fees Act, 1870 is the central framework, but most states have enacted their own amended schedules and rate structures over the decades. The same claim value can attract meaningfully different court fees depending on which state's court you're filing in, so don't assume a figure you heard about one state applies to another.
What is stamp duty, and how is it different?
Stamp duty is a state tax on specific documents, sale deeds, gift deeds, certain agreements, and powers of attorney involving property, paid to make the document legally valid and admissible as evidence. It's assessed on the document itself (often based on property value for property documents), not on a court claim. A single property dispute can involve stamp duty on the underlying deed and separately, court fee if you later go to court over it.
What happens if I undervalue my suit to pay less?
Courts can direct correction of an undervalued suit and require you to pay the deficit before your case proceeds, or reject the plaint outright until it's fixed. Deliberately undervaluing to save on court fee is a common shortcut that often ends up delaying the very case you filed to move quickly.
Are there other costs beyond these two?
Yes: typing and paperwork charges at the court complex, and process fees for serving summons on the other party. If you win, the court may also order the losing side to bear some of your costs, though this is separate from what you pay upfront. None of these figures include your advocate's own professional fee; see our guide on how lawyers charge fees in India for that separately.
Disclaimer: This article is for general information only and is not legal advice. Exact court fee and stamp duty rates vary by state; confirm current rates with your advocate before filing.
Frequently asked questions
How is court fee calculated?
Most civil suits use an 'ad valorem' structure: the court fee is a percentage of the value you're claiming or the suit's valuation, subject to state-specific rate slabs and, often, a cap. Certain suits (declarations, injunctions without a monetary claim) use a fixed fee instead of a percentage.
Does court fee vary by state?
Yes, significantly. Court Fees Act, 1870 is a central law, but most states have their own amended schedules and rate structures, so the same claim value can attract a different fee depending on which state's court you file in.
What is stamp duty, and is it the same as court fee?
No, they're separate. Stamp duty is a state tax on certain documents (sale deeds, gift deeds, some agreements, powers of attorney for property) paid to make the document legally valid and admissible as evidence. Court fee is what you pay the court to file and prosecute a suit. A single transaction can involve both.
What happens if I under-value my suit to pay less court fee?
Courts can, and do, direct correction of an under-valued suit, and may reject a plaint or require you to make up the deficit in fee before proceeding. Deliberately under-valuing a claim to reduce court fee is a common but risky shortcut that can delay your own case.
Are there other costs beyond court fee and stamp duty?
Yes: typing and paperwork charges at the court complex, process fees for serving summons, and, if you win, you may separately be entitled to recover some costs from the other side depending on the court's order. None of these are your advocate's professional fee, which is separate again.