Mumbai, July 7 (IANS) In a major relief for homeowners, the Maharashtra government has taken a decision to waive transfer fees (Najrana), penalties, and other associated levies charged on the transfer of flats in the BBR (Backbay Reclamation) region built before 2015, where a No Objection Certificate (NOC) was not initially obtained.
Revenue Minister Chandrashekhar Bawankule announced this decision while responding to a calling attention motion in the Legislative Assembly. The issue was raised through a calling attention motion moved by MLA Atul Bhatkhalkar.
Elaborating on the decision, Bawankule stated that in alignment with the provisions of the Maharashtra Land Revenue Code (MLRC), transfer fees will no longer be levied on flat transfers executed up to 2015.
Consequently, all penalties and additional surcharges previously imposed for the lack of an NOC during flat transfers are hereby waived. This decision is set to benefit a large number of citizens and clear a significant backlog of pending property cases.
The minister clarified that the maximum stamp duty on residential properties has now been capped at 0.5 per cent. For commercial properties, the upper limit for this fee is 1.5 per cent. Previously, these charges ranged anywhere from 5 per cent to 8 per cent, but the government has drastically reduced them through its revised policy.
Bawankule further informed the House that there are currently around 153 major leasehold cases awaiting resolution in the state. The government has drastically reduced the exorbitant stamp duty previously calculated on market value, incurred during the execution and registration of these leases.
Citing examples, the minister noted that under the earlier system, citizens would have had to pay hundreds of crores of rupees in stamp duty based on current market values. However, under the new policy, these fees will be calculated at a minimal rate.
Addressing demands that older lease agreements should be processed using the Ready Reckoner (RR) rates of their respective eras, Bawankule provided a historical clarification.
He pointed out that Ready Reckoner rates did not exist in the 1950s, 1960s, or 1970s, as the first RR system was only introduced around 1979–80. Given this context, the government’s flat 0.5 per cent levy is far more financially advantageous for citizens than calculating historical rates.
The minister assured that if any ambiguities persist regarding the stamp duty formula, a special meeting will be convened under the chairmanship of the Assembly Speaker. The government will study various options and adopt the method that imposes the least financial burden on ordinary citizens before finalising its decision.
Assembly Speaker Rahul Narwekar welcomed the announcement, congratulating the government for providing substantial relief to the common man. Additionally, members of the house requested that this policy not be retrospective but also apply to future property transfers.
–IANS
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