Based on the report submitted by a Cabinet Committee, the Delhi Cabinet on Monday decided to introduce circle rates based on localities and colonies instead of existing basis of unit area method and associated categorisation of colonies from A to H category.
Addressing the media following the meeting, Chief Minister Sheila Dikshit said the Cabinet has decided to have specific circle rates for 2,480 colonies and localities. The rates will vary from Rs.9,000 per square metre to Rs.1,25,000 per square metre.
The colonies which have been rated in the most expensive category of Rs.125,000 per square metre include Anand Lok, Civil Lines, Defence Colony, Friends Colony, Greater Kailash, Green Park, Nehru Place, Sunder Nagar and Vasant Kunj.
Next in line would be colonies like Andrews Ganj, Kalkaji, Munirka Vihar and Nehru Enclave where the circle rated have been pegged at Rs.1,00,000 per square metre.
In respect of Dwarka, Bank Colony, East Patel Nagar, Malviya Nagar, Meera Bagh and Roop Nagar the rate will be Rs.86,000 per square metre and for Jawahar Nagar, Rohini (certain sectors) and Shakti Nagar it will be Rs.68,500 per square metre.
The rate would be still lower at Rs.54,500 per square metre in Anand Vihar, Rani Bagh, Ashok Vihar, Bharti Artist Colony, Gautam Nagar, Eid Gah Road, Janakpuri, Khari Baoli, New Rajendra Nagar, Rohini (certain sectors) and Shankar Road.
Even more reasonably priced would be Aruna Nagar, Bharat Nagar, New Friends Colony, Inderpuri, Kailash Colony, Krishna Nagar, Model Town, Patel Nagar and Yusuf Sarai where the circle rate would be Rs.43,500 per square metre.
The lowest rate of Rs.9,000 per square metre would apply to villages and certain other colonies.
These new circle rates for 2,480 localities would be given due publicity by the Government and would come into effect from the day of notification.
The Chief Minister said the new circle rates will go a long way in ensuring property transactions at rates which are closes to the average market rate. She said the move has been undertaken to minimise the difference between the average market rate and the existing circle rates of different localities.
The circle rates were first introduced in Delhi in 2007 and were notified under the provisions of The Delhi Stamp (Prevention of Undervaluation of Instruments) Rules 2007 on July 18, 2007. The rates were then notified to simplify the assessment of stamp duty and bring in transparency, simplicity and efficiency in the process of registration, besides better realisation of stamp duty.
Ms. Dikshit said since the Governments of the neighbouring States of Uttar Pradesh and Haryana have been enhancing circle rates in respect of Noida and Gurgaon very frequently, it was felt necessary to rationalise the circle rates in Delhi as well.
She said the matter was reviewed in July 2009 and a workshop was organised in February this year to get the views of people involved in property transactions. The issue was then placed before the Cabinet on June 7, and it was decided to constitute a committee to recommend suitable suggestions in respect of categorisation of colonies.
It is on the basis of the report submitted by this committee, that the decision on circle rates has been taken, she said.