THIRUVANANTHAPURAM: Cabinet on Wednesday decided to put in place two mechanisms to solve complaints related to flawed assessment of fair value of land. The decision was taken in view of the huge number of complaints about the manner in which current fair value had been fixed.
For instance the value of big plots adjacent to national highway with road frontage and those behind without road frontage are shown as same. To solve these complaints the following decisions have been taken; Powers given to Collectors: Collector will be empowered to take the average price of five identical plots in an area and finalise the fair value.
Such applications for revision of fair value will have to be decided within 60 days. More than 1 lakh complaints were received when fair value was decided in 2010. Of these 98,000 have been solve. Collectors have been asked to organise special fair value adalats to solve these issues urgently.
Conditional assessment: There are many instances of registrations not happening because of delay in settling complaints related to fair value.To find a solution to this problem, Cabinet decided to implement conditional assessment system. Under this system, registration will be allowed after deducting one third of the 50 per cent hike. Only two third of the stamp duty and registration fee needs to be deposited at the time of registration. The remaining one third of the stamp duty and registration is to deposited in Treasury.
During fixation of value of land by Collector if fair value happens to be less, then the remaining amount will be returned to complainant along with interest. Such complaints are to be solved within 60 days. For eg; In case if a plot with fair value of Rs1 lakh is to be registerd, considering the latest decision it will be Rs 1.5 lakh. The stamp duty in this case will be Rs 9,000 and registration fee Rs 3,000.
While registering the land accepting formula of two third of 50,000 , the price will be Rs 1,33,330 . The stamp duty of this amount comes to Rs 8,000 and registration fee Rs 2,667 which needs to be deposited at the time of registration. The remaining Rs 1,000 stamp duty andRs 333 registration fee has to be deposited in Treasury. After fixation of value by Collector , if the fair value is found to be less then the remaining amount will be returned to the complaint with interest.
