The Punjab Council of Ministers (CoM) on Friday decided to lower circle ratesin-principle and also reduce stamp duty on registration of property in urban areas to give a push to the real estate sector in the state. The state cabinet has given its approval to reduce stamp duty on the registration of property in urban areas from 9 to 6 per cent till March 31, 2018.
Presiding over a CoM meeting at Chandigarh, Chief Minister Captain Amarinder Singh directed a formal proposal on reduction in circle/collectorate rates to be presented in the next cabinet meeting, with the DCs to be instructed to formulate the new circle rates.Local Bodies Minister Navjot Singh Sidhu is already working on the proposal and will present the same in the next meeting for consideration.
According to a spokesperson of the Chief Minister's Office, the cabinet, chaired by Singh, decided to remove the 3 per cent additional stamp duty chargeable as Social Security Fund for this period through an amendment to Section 3-C and schedule 1-B of the Indian Stamp Act, 1899, as announced by the finance minister in his Budget speech in the state assembly.
In another decision to boost the realty segment, the CoM also decided to grant exemption from 10 per cent increase in Change of Land Use (CLU), External Development Charges (EDC) and License Fee (LF)/Permission Fee from April 1, 2017 to March 31, 2020 for real estate projects.
The CoM also approved a new Marriage Palace Policy for regularisation of unauthorised marriage palaces, besides granting approval for such construction across the state.
The new policy is also intended to facilitate construction of new marriage palaces, thereby mitigating the problems faced by owners of marriage palaces, besides ensuring safety and parking facility for the people gathering at such venues.
The cabinet decided to condone violations in building bylaws to the extent of 10 per cent.