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Post note ban, Noida & Gr Noida see dip in property registrations

Post note ban, Noida & Gr Noida see dip in property registrations
The stamp and registration department of Gautam Buddh Nagar has been facing challenges to earn revenue in this cash-stricken condition. Since November 8, when the announcement of demonetising Rs 500 and Rs 1,000 notes was announced, the registration of properties in the twin cities of Noida and Greater Noida has been adversely affected. 

With home buyers facing a severe cash crunch, the revenue of the state government from Noida and 
Greater Noida has fallen drastically as fresh registration of properties has dropped to almost half since the currency ban.  

Gautam Buddh Nagar district registration department has had an annual target of Rs 2,223.60 crore for 2016. The revenue department has so far managed to collect only about half of the target allotted. In 2016, out of the target of Rs 2,223.60 crore, the department only managed to collect revenue of Rs 1,286.20 crore. Before demonetisation, the department was collecting proper revenue in the form of stamp duties and registration fees but the figures of the last three months of revenue generated clearly shows that demonetisation is the one and only reason behind the major downfall.

Through department officials it was known that in September and October, the revenue collected was Rs 114.32 crore and Rs 120.04 crore respectively. However, the department was badly struck with the announcement made on November 8 and thus the revenue figures for the months of November has fallen down to Rs 79.11 crore. 

The revenue usually remained near Rs 100-150 crore per month before demonetisation.

The government and the officials are trying to adopt every possible way they to boost their revenue generation. The government earlier allowed the department to collect only property registration fee up to Rs 20,000 in the form of demonetised notes till December 15. 

Also, there were inspection drives conducted by the officials of the district administration and the revenue department of some newly developed housing societies to ensure that people do not shift to their new houses before registration. 

The builders as well as the stamp and registration department are together facing the same problem. A legal property advisor from Noida told us that some people who booked their flats two or three months before demonetisation are now requesting us to somehow cancel their bookings as they are facing problems to make further payments. The resale of property has also been badly hit as it majorly involves cash payments. The future of property will now depend on the government’s policies after December 31.
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