HYDERABAD: Chief Minister A. Revanth Reddy asked officials to take steps to revise market values of lands in the state. He said the land rates in Hyderabad and all parts of the state have increased significantly but there was no corresponding increase in the income earned by the state government through the stamps and registration department.
The vast difference between the actual market value of the lands and the government prescribed market value of lands was the reason for this, the Chief Minister opined.
He said the actual market value of lands was manifold higher than the government-prescribed market value and this should be rationalised by revising government-prescribed market value.
Revanth Reddy on Thursday reviewed the performance of revenue-earning departments at the Secretariat with ministers and senior officials. He reviewed the revenue collections achieved through departments of commercial taxes, stamps and registrations, excise and mining. He expressed disappointment over departments failing to achieve stipulated revenue targets in the previous fiscal 2023-24.
The Chief Minister said, as per norms, the market value of lands should be revised every year under the Indian Stamp Act but the land values were not revised for eight years after the formation of Telangana state.
He ordered the stamps and registration department to follow a scientific method in the finalisation of the market values of the lands accordingly in different areas, agriculture lands, vacant lands, plots and apartments.
Revanth Reddy suggested that land market prices should be revised to promote the real estate and the construction sector along with increasing revenue of the state. He suggested them to study the stamp duty which is being collected in other states and take a call on either increasing the duty or reducing it.
After the formation of Telangana state in June 2014, the state government did not increase the market value of lands till 2021. The market values that were revised in 2013 in undivided AP remained in force for eight years in Telangana till 2021.
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 2022. Despite this, there is a huge gap between actual market value of lands and government land values.
The Chief Minister also discussed the evasion of GST with the officials and suggested them to take strict measures since the GST is the one of the main revenue generating sources for the state.
From now onwards, the officials will organise regular field inspections and audit the tax collections to increase revenue from GST. The Chief Minister appealed to the traders to pay GST timely and warned the tax evaders to pay honestly.
Revanth Reddy warned the officials not to repeat the mistakes committed in the past in the commercial tax wing and ensure no corruption and irregularities which came to light in the filing of the GST returns.
He questioned the officials for not achieving the revenue targets despite the liquor sale being high during the election season in the last financial year. The Chief Minister ordered the officials to crack a whip against liquor smugglers and tax evaders .
The Chief Minister asked the officials to prepare an action plan to increase tax revenue and achieve the targets in accordance with the annual target and introduce reforms in the tax collection. The authorities have been asked to plug the loopholes in the revenue generating wings.
