Stamp Duty
Img : arbeerealestate

In Ghaziabad, the NCR city of Uttar Pradesh state, the department of stamps and registration is planning to raise circle rate in the present financial year. The department has likely written the same to the Uttar Pradesh government and has suggested an increase in these rates as the same remains unchanged from 2014.

ML Patel, AIG (stamps) said that the department has forwarded recommendations to the state government on circle rates. Now the government has to take a call on the matter. He further said that we managed to collect only 89 percent of the stamp duty target set by the State Government in the last fiscal year.

In the financial year 2018-19, the UP government aimed to collect Rs. 1,626 crore as stamp duty, but managed to collect only Rs 1,442 crore. The recent slowdown in the real estate sector is also listed as one of the reasons for less collection by the officials. According to the officials, the next major reason for missing target was that either the properties were abandoned by homebuyers, delay in possession of the flats and another reason for the same is resale of property without informing the registry department. All this has resulted in the loss in revenue generation.

ML Patel also said that the State Government has increased the stamp duty charge target by Rs. 48 crore and totaled it to Rs. 1,674 crore. However, the officials refused to make any further comment on the same.

In the last year, the rebates were offered on the existing circle rates in the area that have two slots on plots for educational institutions. The rebate of 30 percent was offered for an area between 1,000sqm and 20,000sqm, while a 40 percent rebate was offered on the land that measured over 20,000sqm. The State Government abolished a 5 percent rebate on rainwater harvesting.

At present, the current circle rate in Kaushambi ranges between Rs. 72,500/sqm and Rs. 79,700/sqm for residential plots.

The circle rate for commercial head in the township range between Rs. 1,26,000/sqm and Rs. 1,38,000/sqm. In the same manner, the circle rates for the residential plots in Indirapuram ranges between Rs. 66,500/sqm and Rs. 73,100/sqm.

In Vasundhara area of the Ghaziabad city, the circle rate for the residential category falls between Rs. 56,500/sqm and under the commercial sector the same stands at Rs. 62,100/sqm.