Revised collector rates for properties in Haryana are likely to be implemented from August 1st, potentially making land and property purchases more expensive for the general public. The government had already uploaded the draft of these new rates on the websites of various districts in the state and invited objections from the public until July 31st. These objections are now being considered before the final approval.
The opposition party, Congress, has bly opposed this decision, stating that increasing collector rates will raise the cost of land registration and put an economic burden on the common man. The government argues that the rates have been determined according to market values and will increase transparency.
What is Collector Rate?
The collector rate is the minimum value at which property transactions are recorded in government documents. Stamp duty and registration fees are determined based on this rate. This means that if the collector rate of an area increases, one will have to pay more tax and registration charges when buying land there.
In simple terms, it is the government-determined price that dictates the minimum amount you must declare to the government for registration when purchasing any land or house. If the government is increasing these rates, the overall cost of the property will also increase.
Highest Increase in Gurugram
The state's most expensive and rapidly developing city, Gurugram, is likely to see a significant jump in collector rates. According to the draft, the land in rural areas located two acres away from the highway, which was previously priced at ₹25,300 per square yard, is now proposed to be ₹45,000 per square yard – an increase of approximately 77 percent.
In addition, rates are proposed to be increased by 25 percent in the Carterpuri area and up to 19 percent in Old DLF Colony. Real estate experts say that this will make property buying even more expensive there.
Rates are Increasing in Other Districts Too
Gurugram is not the only district where collector rates are proposed to increase. Hikes are planned across the state:
• In Rohtak, rates may increase from 5 to 25 percent.
• Significant increases are proposed in several sectors of Panchkula.
• Rates are also being prepared to be increased in industrial areas.
The government argues that this step is necessary to prevent irregularities in property transactions and to ensure registrations are in line with market rates.
Congress Calls it an Attack on the Common Man
Former Chief Minister Bhupinder Singh Hooda has criticized the state government regarding this increase. He said that the government has increased the rates from 10 to 145 percent, which is a direct attack on the poor and middle class.
Hooda gave the example of Fatehabad, stating that where the land rate was previously ₹15,000 per square yard, it has now been increased to ₹35,000. He also alleged that a significant increase was already made last December, and now the rates are being increased again within just 8-9 months, which is completely wrong.
Chief Minister's Counterattack
Responding to the opposition's allegations, Chief Minister Nayab Singh Saini said that collector rates have been changed from time to time even during the Congress regime. He said that the new rates proposed by the government are in line with the prevailing market values, so it will not put any additional burden on the common people.
Middle Class Concerns
Congress also says that earlier, collector rates were generally increased by only 5 to 10 percent. But now, different and heavy rates are being fixed for every locality, street, and village. This will break the back of the poor and middle class, and their dream of owning a home will become even more distant.
