Property Plus
Bangalore
Chennai
Hyderabad
Kochi
Thiruvananthapuram
Proposal to amend the Indian Stamp Act
|
The penal interest on belated payment of duty may be reduced from 2 p.c. to 1 p.c. per month,, writes C.H.Gopinatha Rao
|
Photo: T. Singaravelou
Rectification: Anomalies in guideline values are corrected by a committee set up at the State level.
Guideline Value is a public document that indicates the minimum value of the land that will be considered for registration. This guideline value will help the registering officer to detect prima facie any under valuation of property. In most of the places, the guideline value is lower than the prevailing market value. There are also cases where the guideline value may be higher than the market value. Such cases should be brought to the notice of the Inspector General of Re
gistrations for correction of anomalies. There is a committee at State level that goes into such issues.
Provision has been made under section 47 of the Indian Stamp Act for the parties to appeal if the consideration indicated in the document presented for registration is less than the Guideline value. The Registrar shall keep pending the process of registration of such instrument and refer the matter, within a month along with a copy of the instrument, to the Collector.
Market value
The Collector may determine the market value of such property and duty. If the determined amount indicates any difference, then the difference in amount shall be payable within such period as specified.
On any amount remaining unpaid, after the date specified for its payment, the person is liable to pay a duty. This would be about 2 per cent per month on such amount for the entire period of default.
An appeal can be preferred with the Inspector General of Registration, Chennai 28. If it is made against the Collector’s order, then the interest payable shall be postponed till the appeal is disposed of. The interest then will be calculated on the amount that becomes due in accordance with the final order passed.
It has been proposed to provide that for entertaining the appeal against the order of the Collector determining the market value of the property, the person aggrieved shall pay 25% of the difference in the amount of duty payable under section 47-A.
It has also been proposed that the penal interest on belated payment of duty may be reduced from 2% to 1% per month.
The fixation of market value will be done by I.G.R and the value may even be higher than the value fixed by the Special Deputy Collector (Stamps).
The author is former National President, Institution of Valuers.
Printer friendly
page
Send this article to Friends by
E-Mail
Property Plus
Bangalore
Chennai
Hyderabad
Kochi
Thiruvananthapuram
|
