Guj Govt to charge only Rs 100 for ancestral land division

In a significant step which will benefit lakhs of farmers, Gujarat government today announced waiver of the steep stamp duty on division or transfer of ancestral agricultural land.
Health Minister Nitin Patel announced in the Legislative Assembly that direct descendants of a farmer can divide the agricultural land among themselves without paying the stamp duty on the market price of the land.
At present, the government charges 0.25 per cent stamp duty on the agricultural land worth less than Rs 10 crore and 0.50 per cent above this limit.
"Government has decided to do away with this provision. As per the new rules, direct descendants of a farmer can now divide the ancestral land by paying a marginal stamp duty of Rs 100 for the land worth less than Rs 1 lakh and Rs 500 for Rs 1 lakh and more," Patel said.

However, this distribution of land among heirs must be done within five years of a person's death, said Patel, speaking on behalf of Chief Minister Anandiben Patel who holds the revenue portfolio.
No stamp duty will be charged if a farmer wants to divide the land among children in his/her lifetime. An affidavit on a Rs 100 stamp-paper will suffice to complete the procedure.

Further, the new rules also give relief to those who wish to withdraw their claim on the agricultural land, the procedure for which currently attracts a steep stamp duty.
Now such persons can forgo their claim by signing an affidavit on a Rs 100 stamp paper.

The new rules also streamline the existing varying procedures in various districts for adding or removing names of co-owners in revenue records of agricultural land. Addition or deletion can now be done by paying a stamp duty of Rs 100.
"These changes will come into effect immediately. The aim is to streamline the procedure of transfer and division of ancestral agricultural land. This decision will help lakhs of farmers," said Patel.