Stay updated with the latest - Click here to follow us on Instagram
Journalism of Courage
Premium
This is an archive article published on March 18, 2011
Transfer of shop licence will now cost Rs 2 lakh,says MCD
Lakhs of traders in the city will soon have to pay more for transferring shops in various markets.
Written by Hamari Jamatia
New Delhi | March 18, 2011 02:49 AM IST
2 min read
2 min read
Lakhs of traders in the city will soon have to pay more for transferring shops in various markets. The Municipal Corporation of Delhi (MCD) has approved a massive hike in the transfer fee from Rs 25,000 to Rs 2 lakh,apart from a four-fold increase in the licence fee.
The hike,a step taken after 17 years,is based on the increase in property rates over the years. Now,for the transfer of property,the recipient has to pay Rs 2 lakh as transfer fee as well as four times the licence fee paid by the shop.
A senior MCD official said,At present,even small tehbazaaris have to pay Rs 1 lakh as transfer fee,so there was a need to hike rates for shops that are bigger and better located. The current value of these shops in the open market is estimated between Rs 30-50 lakh,he said. The MCD,he added,can earn a lot of revenue from the present hike.
These shops were allotted long ago and the purchaser of the licence rights of such shops have a solid financial background as prices of these shops have gone up. MCD gets money only when these transfers happen,so it was pertinent to raise fees, he added.
To generate more revenue and check underhand transactions of properties,Rs 2,000 was charged since 1979 for regularisation of the licence in favour of the subsequent occupant or purchaser. In 1993,it was increased to Rs 25,000 from Rs 10,000.
Advertisement
Loading Taboola...
Live Blog
Top Stories
Advertisement