The UP cabinet has approved hiking of stamp duty on homes by 2% in all cities, including Noida and Greater Noida. This will put an extra Rs 1-2 lakh burden on each buyer, while the revenue department expects to earn an additional Rs 100 crore. With thousands of flats routinely delivered late in Gautam Budh Nagar, especially those affected by the Okhla Bird Sanctuary (OBS) row, it will be a double whammy for many home buyers.
Angry buyers accused a nexus between Noida Authority, developers and district administration for their misery. Developers said the decision will negatively impact GB Nagar real estate.
GB Nagar additional district magistrate (finance and revenue) Rajesh Yadav said, “Once the government issues notification and order in the matter, we’ll start charging hiked stamp duty.”
Government sources said the entire process is likely to be completed within a month, indicating the hiked stamp duty is likely to be charged from April. If implemented, the proposal won’t go down well especially with home buyers who were forced to wait out a legal battle to demarcate an eco-sensitive zone around OBS, in whose vicinity they had bought flats. Besides these, thousands of flats, which couldn’t be completed because of the stay order during the two year-long legal battle, and are being delivered now, would be affected by the hike.
Last year, after the Centre finally notified the eco-sensitive zone around OBS, the department had declared it would charge stamp duty at prevailing rates for completed flats that could not be delivered because of the legal battle. The order came after a campaign sustaine d by TOI on its adverse effect on home buyers.
Supertech CMD R K Arora said, “The GB Nagar real estate market is already reeling under a prolonged slump.Hiking stamp duty will be a fresh blow to it.”