Karnataka polls: No impact on registration of properties

Fears of agents ignoring real estate for politics prove unfounded.
Karnataka polls: No impact on registration of properties

BENGALURU: Unlike previous polls, registration of property remained unaffected in the state this assembly elections. After effects of demonetisation waned, elections had raised a fear of declining stamp duty and registration fee at least two months ahead of assembly polls with real estate agents investing in politics rather than real estate. But that did not happen. Instead, the Stamps and registration department saw a rise in revenues.

Severely hit by demonetisation, the state had lost Rs 1,239 crore in stamp duty and registration fee for the year 2016-17. But in 2017-18, the state government has reaped a bumper crop of revenue.

According to statistics obtained from the department, the state government has collected Rs 7,868.13 crore in stamp duty and registration fee with a total 17,39,415 documents getting registered as against the total target of Rs 9,100 crore in 2016-17. There was decrease in revenue of Rs 1,239 crore due to demonetisation in that financial year. But the scenario changed the very next year (2017-18) with the collection of stamp duty and registration fee touching Rs 9,041 crore with the registration of 19,34,021 documents, as against the target of Rs 9,000 crore.

Although there was a little dip in revenue in the months of May, June, August, September and October as against the expected target, the same improved in the subsequent months. Total Rs 41.80 crore was collected extra in the financial year ending March 2018.

Even in the month of April 2018 (first month of financial year 2018-19), the registration crossed the expected target. The registration has fetched Rs 776.76 crore revenue with registration of 1,55,875 documents as against target of Rs 716 crore. There was a total increase of Rs 190.98 crore when compared to the corresponding period in 2017.

A source said that the number of registration of documents usually comes down two months before the elections. But the trend is broken this year.

Inspector General of Registration and Commissioner of Stamps Dr Thrilok Chandra K V told The New Indian Express that the real estate picked up in 2017-18, post demonetisation. About 75 percent of total stamp duty and registration fee of the state comes from Bengaluru Urban district — that too from Shivajinagar district registrar office limits. Central Business District contributes the most. "However, the sale of non-converted land came down in districts around Bengaluru Urban district, such as Bengaluru Rural, Chikkaballapura and Tumakuru in 2017-18," he added.

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