Higher charges affect land registrations in Telangana

HYDERABAD: Land registrations have dipped across the state since February 1 with the increase in the market value of lands and registration charges for the second time this fiscal. The government which earned over Rs 60 crore per day prior to February 1 through land registrations has been registering revenues of about Rs 32 crore per day on average since February 1.

After the formation of Telangana in June 2014, the state government did not increase the market value of lands for seven years. The market values that were revised in 2013 in undivided AP remained in force for eight years in Telangana.

The state government increased the market value of lands and registration charges, stamp duty in Telangana for the first time in July 2021. The government again enhanced the market value of lands and registration charges for the second time from February 1.

This made registration of lands very expensive in Telangana prompting property buyers to halt transactions. The majority of the registration offices in districts barring Hyderabad and Ranga Reddy districts wore a deserted look since February 1. The government gave indications of increasing the market value of lands for the second time from February 1 to mid-January. With this, all the registration offices witnessed a huge rush from January 20 to 31, as property buyers thronged to complete registrations before February 1 to avoid paying higher registration charges. The government earned nearly Rs 100 crore per day due to heavy rush.

However, from February 1, the property registrations fell down sharply. In the first 11 days of this month, the revenue earnings stood at Rs 359 crore, which amounts to Rs 32 crore per day on average.

The government expected to earn Rs 1,000 crore per month in the last two months of this fiscal (February and March), but going by current figures, it appears a difficult task.