Also, Land Registry Department publishes guideline values for agricultural land and houses every year. When the price of land rises, it is customary to increase the guide value accordingly.
The new guide value generally comes into effect from 1st April every year. However, the new property guide value, which will roll out three days after April’s birth, is yet to be released.
In the situation where the guideline value for land has increased by 50 percent in Tamil Nadu, due to the announcement of guideline value for land in Puducherry, deed registration is currently being conducted as per the guideline.
At the same time all the deed registration documents are being ‘bending’. Even after all the registration including fingerprints of the person coming to register the property, the property deed is kept by the Deed Registration Office.
The deed registration authorities are saying that they will issue the deed documents after paying the stamp paper fee after issuing the decree on the new guide value. Due to this, people are reluctant to register bonds.
Usually, a committee is formed to calculate the property guide value in February. The committee will undertake the study and submit a report in March. But this year, this work has not been done yet. However, in November last year, a report was filed regarding the increase in property guide value. But this file has also been shelved without a decision being taken.
Property guide value in Puducherry was last hiked in 2013-14. Subsequently, the asset guidance for 2016-17 has been reduced by 25 per cent. Hence, property guide value in Puducherry has remained unchanged for the last 10 years. As a result, there is a big gap between the government guide value and the market value.
The income of the government has also decreased. In the situation where the guide value for land has increased in Tamil Nadu, the government should publish and clarify whether the property guide value for Puducherry land will increase or the old guide value will continue.
200 crore will be exceeded
In the year 2013-14, 40,000 bond registrations took place in Puducherry state, and stamp duty and registration fees were collected for 128 crore rupees. Currently, the income has reached 125 crore rupees. 200 crores would have crossed the deed registration sector if the guide value had gone up last year.