Report all property sales above ₹50 lakh: Centre to registration authority

The letter, sent by P K Mishra – a director in the ministry of finance – on November 1, states that the IGR which heads the stamps and registration department is designated as a ‘Reporting Entity’ (RE) under the prevention of money laundering act (PMLA).

Mumbai: The union finance ministry has written to state chief secretary, Manu Kumar Srivastava, and inspector general of registration (IGR), Shravan Hardikar, to report all transactions of property sale above ₹50 lakh or more that are registered within the 15th day of the month succeeding each quarter of the financial year.

Pramod Deokar, the deputy inspector general of the IGR department said, “At present, we send a record of all transactions above ₹30 lakh once a year to the Income Tax department. This new letter by the finance ministry has not been sent so far to the Mumbai office.’’ (HT Photo)

The letter, sent by P K Mishra – a director in the ministry of finance – on November 1, states that the IGR which heads the stamps and registration department is designated as a ‘Reporting Entity’ (RE) under the prevention of money laundering act (PMLA).

Under section 12 of PMLA 2002, the IGR has to report details of all purchases and sales by any person of immovable property valued at ₹50 lakh or more registered with him.

Financial Intelligence Unit India (FIU-IND) is the central national agency responsible for receiving, processing, analysing and disseminating information relating to suspect financial transactions.

FIU-IND is also responsible for coordinating and strengthening efforts of national and international intelligence, investigation and enforcement agencies in pursuing global efforts against money laundering and financing of terrorism.

The letter states that India’s Financial Action Task Force’s – an inter-governmental policy-making body which is set up to combat money laundering and financing of terrorism – mutual evaluation is scheduled to be held soon and it is, therefore, necessary to have all the IGRs to register themselves for the same by November 15.

Srivastava forwarded the letter to the revenue department (which governs stamp duty and registration offices) directing that necessary action should be taken.

Pramod Deokar, the deputy inspector general of the IGR department said, “At present, we send a record of all transactions above ₹30 lakh once a year to the Income Tax department. This new letter by the finance ministry has not been sent so far to the Mumbai office.’’