Punjab Cabinet abolishes 2% stamp duty tax

With a view to boost the real estate sector, the Punjab Cabinet on Monday decided to abolish the stamp duty of two per cent levied on immovable property while awarding the power of attorney.

A decision to this effect was taken by the Cabinet in a meeting held under the chairmanship of Chief Minister Parkash Singh Badal here.

Speaking on the matter, a spokesperson of the Chief Minister's Office said the decision would be a major relief for people aspiring to buy their own houses.

The stamp duty would now be a nominal Rs 1000 on the General Power of Attorney and Rs 500 on Special Power of Attorney, irrespective of the market value.

In another major decision, Cabinet decided in principle to offer the proprietary rights under concessional terms and conditions to the small and marginal agricultural farmers cultivating up to five acres of provincial government agricultural land.

These tillers who have been cultivating government land for at least 20 years would be entitled to allotment at significant discount from the collector rates.

The Cabinet also gave nod for appointing Senior vice-president in the various boards and corporations from among the non-official members.

Following this decision, the Cabinet approved the creation of post of Senior vice-chairman in Punjab State Board of Technical Education and Industrial Training and Punjab Khadi & Village Industries Board.

It was also decided in the meeting to constitute a Cabinet sub committee comprising Food and Civil Supplies Minister and Finance Minister to negotiate with banks for a lower rate of interest on previous loan accounts.

The Cabinet also approved the proposal mooted by the local government department to make suitable amendment in the Punjab Municipal Act, 1911 and the Punjab Municipal Corporation Act, 1976 for the disposal of Municipal properties under possession of occupiers for a period of twenty years or more.

In the meeting, the Cabinet also decided to make amendments in the rates of property tax of hotels in the urban areas from the year 2015-16 by including this type in the category of commercial property.