‘Reduction in registration fee once income increases’

Registration fee in Tamil Nadu would be reduced gradually once the income from registration increased, Minister for Commercial Taxes K.C. Veeramani told the Assembly on Wednesday.

“The last Friday alone witnessed 15,000 registrations and the State government could earn ₹70 crore in a day. When the revenue increases, we will reduce the registration fee gradually,” he said responding to Congress members S. Vijayadharani, J.G. Prince, S. Rajesh Kumar and DMK members I. Periyasamy and S. Sudharsanam.

Former Chief Minister Jayalalithaa had promised to reduce the guideline value by 33% during the 2016 elections. “After winning the elections, a committee was formed to study the guideline value in many States. Chief Minister Edappadi K. Palaniswami announced 33% reduction in guideline value. To overcome the loss caused by the reduction, registration charge was increased,” Mr. Veeramani said.

It was decided to increase the registration charge of conveyance, exchange, gift and settlement to 4% from 1%. “Even after increasing the registration charge, the government will lose ₹450 crore a year,” he said.