Pay more for registration of property
If you are buying a house in Delhi, get ready to shell out more on registration of the property sale deed.delhi Updated: May 16, 2011 23:42 IST
If you are buying a house in Delhi, get ready to shell out more on registration of the property sale deed.
Exactly a year after it increased registration fee on sale of properties, Delhi government has once again increased registration charges on properties worth more than Rs 50 lakh.
According to senior revenue department officials, the department had earlier fixed a cap of a maximum Rs 50,000 as registration fee on property sale deed of more than Rs 50 lakh.
“We have now removed the cap of Rs 50,000 as maximum registration fee a buyer used to pay. Any purchase of property will now attract a flat rate of one percent as registration fee,” said a senior revenue department official.
“The Cabinet has stamped its approval on this proposal and it will be notified soon,” the official added.
In simple terms, a person buying property worth Rs 1 crore will now have to pay a registration fee of Rs 1 lakh. Till now, he was liable to pay only Rs 50,000 as registration fee.
Registration fee is separate from the stamp duty, which is paid to the government when the property is sold and transferred to the buyer. In Delhi, stamp duty is charged at 2% if the property is registered in a woman’s name and 3%if it is registered in the name of a man.
Registration fee in Delhi had witnessed a sharp increase in May 2010, when Delhi government had increased it from a nominal Rs 100 to 1% of the sale amount. Last time the government had increased registration charges on property sale deeds was in 1964. The increase earned the government an additional revenue of about Rs 115 crore in last fiscal.
With revision in fee structure again, the government expects to earn additional Rs 95 crore this financial year.
“We hope our collections will increase from Rs 115 crore annually to Rs 210 crore this year,” a senior revenue department official said.