Highest land registration charge in India

The highest land registration charge in the country is in Kerala. Anything related to land requires splashing big money, and it has turned into a staple in the state. Meanwhile, with timely intervals, the government is increasing the fair price of land by 10% to 20%. Another 8% fee on stamp duty and 2% for registration total it to 10% for land registration. Amidst this, the land price is surging to new highs in Kerala with ordinary people getting the blues trying unsuccessfully to purchase land. The title deed price is proportional to the amount fixed by the government for a fair price for the land. The stamp paper fee will also increase with the fair price fixed for land. And now, the government in another attempt is increasing the fair price for the reclassification of land. The government recently brought reforms allowing barren lands to be reclassified by paying a required basic fee. Hitherto it was the same fair price for land registration used if the reclassified land is kept for resale. However now, the government has fixed higher taxes for the resale of the reclassified lands. The revenue department eyes big business with the sudden reforms in land tax.

There are acres of wetlands in every district of Kerala. Most of these areas are currently bereft of any farming but are under the hands of wealthy families who use this for alternate purposes. However, the wetlands owned by ordinary people get more scrutinized by the authorities. At this point, surprisingly the government made a rule to not charge a penny for reclassifying wetlands under 25 cents. Thousands of applications have reached the revenue department for the same. A special fee has been determined for reclassifying wetlands above 25 cents of land. Till now, just with the reclassification of lands above 25 cents, the government is said to have received a fortune in money. Meanwhile, the reclassified land will have to pay the same fair price for registration similar to the land adjacent to it.

Considering how things are moving within the government, the registration department is simply making big money for the government only second to the liquor business.

Meanwhile, the unending increase in the registration fee will deplete the real estate business in Kerala. Compared with neighboring states, Kerala taxes more for land than all others. If the trend continues unhindered, even lands in the remotest of villages in Kerala will see skyrocketing prices. It is better for the government to consider some reduction, only for the good of the overall economy.