40% STAMP DUTY UPSWING HINTS AT REALTY DEALS OF ₹21,000 CRORE

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Nagpur: The state govt has netted over Rs 1,540 crore from stamp duty collections for the financial year ending on March 31, 2024, posting a growth of 40% over the previous fiscal in the city with the collection from rural areas- as an additional Rs 470 crore. As the figures are being finalized, the tally is expected to cross Rs 1,480 crore. A target of Rs 1,500 crore.

With a 7% stamp duty payable on the purchase of property, real estate transactions of Rs 21,000 crore can be estimated to have taken place in the city during the fiscal ending March 31, 2024, said sources.

Apart from selling realty, duty is payable on registering lease deeds, gift deeds, and other transfers. On a very conservative estimate, officials said that at least Rs1,400 crore can be expected to have come from the purchase of properties alone. Builders say this indicates a sign of the bullish real estate market in the city.

Sources said that considering the market trends there is scope to increase the ready reckoner. A realistic ready reckoner could have fetched higher stamp duty.

An amnesty scheme is also underway till June end, which also led to more collection in stamp duty. This led to a number of old cases getting cleared. Even more than two decades old deeds were registered during the financial year under the amnesty scheme on account of a heavy waiver available, said sources.

President of the Confederation of Associations of Real Estate Developers of India’s (CREDAI) Nagpur unit Gaurav Agarwal said the end user demand across the segments has seen a major increase. The demand for open plots has also gone up, he said.

Pankaj Roshan of M/s Roshan Real Estate, a brokering firm, said it’s high time that the ready reckoner is changed bringing it to realistic levels. A revised ready reckoner could have led to a collection of over Rs 2,000 crore, he said.

ShravanKakra of M/s KukrejaInfrasucture said Nagpur is getting into the top five cities’ league of the country. Overall growth in Nagpur’s realty sector is evident due to gradual industrialization. A marked increase in terms of price is also seen.

Sunil Duddalwar of M/s Himalaya Builders said the growth is visible across all home-buying segments. Localities in west Nagpur have seen a notable rise in development over old properties. Sale of farmland too picked up

The Times of India.

Date: 03-04-2024, Wednesday.

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