The Department of Stamps and Registration, the third highest revenue generating department for the government, has surpassed its collection target and is expected to earn a revenue of Rs. 4,800 crore this financial year (2011-12).
Against a target of Rs. 4,250 crore in 2011-12, the department's collection stood at Rs. 4,570 crore as on March 9 this year. The collection is expected to touch Rs. 4,800 crore in 2011-12 against Rs. 3,795 crore in 2010-11.
Revenue collection has gone up on account of the improved situation in the real estate sector. “Against last year's revenue, we are expected to achieve a growth of 21 per cent this year,” V. Chandrasekhar, Inspector-General of Registration and Commissioner of Stamps, told The Hindu .
Revision of guidance value of property and increase in the number of property registrations were major reasons for the increase in collection this year. The guidance value of land and property in all districts, including Bangalore, was revised in August-September 2011.
Registration up
As many as 15.08 lakh properties were registered across the State as on March 9 this year against 12.02 lakh in 2010-11.
Bangalore Urban district contributes 73 per cent of the total revenue of the department.
As a pre-condition for release of funds under Jawaharlal Nehru National Urban Renewal Mission (JNNURM) for improving infrastructure in Bangalore and Mysore cities, the government has agreed to reduce stamp duty from the exiting 6 per cent to 5 per cent.
“We have submitted a proposal on reduction of stamp duty from 6 per cent to 5 per cent to the Chief Minister. The proposal is under the consideration of the government,” Mr. Chandrasekhar said. The reduction of 1 per cent of stamp duty would hit revenue by Rs. 500 crore.
Upgrading
The department has proposed to upgrade the existing network system in all sub-registrar and district registrar offices by spending Rs. 90 crore. Funds would be utilised for the purchase of computers and other equipment for the offices of the sub-registrars. There are 242 sub-registrar and 34 district registrar offices.
Mr. Chandrasekhar said that “anywhere” registration would be gradually expanded to other sub-registrar offices. It has been implemented in nine of the 43 sub-registrar offices in Bangalore on a pilot basis. Buyers and sellers of immovable property in the jurisdiction of these offices can register their documents in any of the sub-registrar offices convenient to them. For instance, a property located in Nagarabhavi can be registered in Gandhinagar sub-registrar office or in Malleswaram and vice-versa.
