NEW DELHI: The government has tightened rules on the registration of immovable properties to curb revenue loss, crack down on land mafias and property fraud, and safeguard government revenue. It has issued strict guidelines for the scrutiny of property-related documents executed through General Power of Attorney (GPA). All Sub-Registrars have been directed to implement the new rules with immediate effect.
CM Rekha Gupta said on Wednesday many property documents are being registered as GPAs by paying only a nominal stamp duty, though they effectively amount to property sale agreements by including provisions for sale, possession and transfer of ownership. She said that such practices amount to stamp duty evasion.
Under the new guidelines, every GPA presented for registration will undergo detailed scrutiny by the Sub-Registrar. Officials will examine whether the document mentions monetary consideration, provides for the transfer of possession, is irrevocable, or grants permanent authority to sell, gift, transfer or mortgage the property.
GPAs executed in favour of anyone other than close blood relatives—parents, spouse, son, daughter, brother or sister—will no longer be registered directly by the Sub-Registrar. Instead, they must be referred to the Collector of Stamps to determine the applicable stamp duty.
Registration sans collector okay to face penal action
The Collector of Stamps must pass a reasoned written order within 30 days, deciding whether the document is merely a GPA or attracts full stamp duty applicable to a Conveyance (Sale) Deed. In exceptional cases, the deadline may be extended by up to three months.
Such GPAs will not be registered until the Collector issues an order and the required stamp duty is paid. Any Sub-Registrar who registers such a document without referring it to the Collector will face action.To improve transparency and accountability, every Sub-Registrar’s office will maintain a separate register for such cases and submit monthly reports.
The CM has also directed officials to develop an online tracking system within a month to monitor these cases. Gupta said the initiative will protect government revenue while safeguarding citizens from fraud involving defective property documents.