The Gujarat governmentís decision to hike existing rates of Jantri by 50% with effect from Friday is expected to increase the state revenue departmentís revenues by around Rs 600 crore. It may be mentioned here that the existing land rates of Jantri (ready reckoner for land valuation) were last revised on April 1, 1999. However, the Gujarat government on Thursday announced a 50% hike in the rates of Jantri with immediate effect. Additionally, the state government has also imposed a 5% annual rise in the rates. With the Gujarat government's latest move the registration of documents pertaining to land would be costlier.
Sources said that the usage of power of attorney will increase due to a hike in Jantri rates. Sample this: earlier documents for Rs 1 lakh used to attract Rs 8,400 as stamp duty. However, the state government slashed stamp duty rates in the last budget and as a result the customers had to pay a stamp duty of Rs 5,850 on land documents of Rs 1 lakh. However, with the 50% hike, the consumer will now have to pay Rs 8,775 as stamp duty. According to informed sources, the 50% hike in Jantri rates is expected to bring an additional income of Rs 600 crore to the Gujarat governmentís revenue department. However, bankers are of the view that the hike in Jantri rates will help consumers in availing higher amount of loans from banks.