IN A major relief to city residents, the Chandigarh Administration on Friday reduced collector rates up to 15 per cent in different categories. A notification will be issued on Saturday.
The collector rate is the minimum rate at which the property is registered. The rates are determined by the Chandigarh Administration and are revised from time to time according to market dynamics.
UT Deputy Commissioner Ajit Balaji Joshi said that the new rates would be notified on Saturday.
Currently, the collector rates in Chandigarh are considerably higher than those of Panchkula and Mohali. In some categories, the rates are even higher than the actual market value of properties.
At present, in the Industrial Area, the market price is Rs 45,000 per square yard while the collector rate is Rs 82,368 square yard. The collector rate of showrooms in sectors 8 and 9 is around Rs 18.66 crore while the property prices hover around Rs 17 crore. In Sector 22, a buyer has to pay around Rs 15 crore as the collector rate for a property having a market value of Rs 13 crore. In addition, the buyers are required to pay a stamp duty of 5 per cent and 3 per cent on the collector rates for commercial and residential properties, respectively. They are also charged Rs 1,500 per square yard as construction charges.
The administration had increased the collector rates by 10 per cent in 2012 in different categories while in 2013, the rates were increased by up to 50 per cent. The traders had been demanding reduction of the collector rates. Different delegations had submitted their representations to the deputy commissioner in the past two months.
Chander Verma, chairman of Converted Plot Owners Association, said that the administration would be doing the city residents a favour by reducing the collector rates. “The current rates are unreasonably high,” he said.