Sri Vijaya Puram, Oct. 5: South Andaman District Congress Committee President John Robert Babu has questioned the recent amendments relating to stamp duty, circle rates, property registration and land transactions in the Andaman and Nicobar Islands, arguing that several provisions could place an additional financial and procedural burden on island residents.
Addressing a press conference, Babu said the recent discussion over reduced stamp duty on certain gift deeds did not present the complete picture of the amendments. He questioned statements attributed to BJP president Anil Tiwari on the issue and said several other provisions contained in the amendment also needed to be brought before the public.
Babu said the issue of high stamp duty linked to circle rates dates back to 2017 and argued that residents had faced increased financial liabilities since the introduction of the system. He said that before the circle-rate system, property valuation was prepared by revenue officials and stamp duty was calculated on the assessed valuation.
He also questioned the uniform application of circle rates to properties with substantially different locations and accessibility, arguing that properties adjoining major roads and those situated in smaller lanes could carry the same circle rate despite differences in their market value.
According to Babu, the recent amendment provides relief in certain gift-deed transactions but continues to impose percentage-based charges in some cases, including commercial property. He questioned why a parent transferring a commercial property or business to a child should continue to face such charges.
Babu also raised questions over different stamp-duty rates applicable to male, female and jointly owned property transactions. He called for greater clarity on the rationale behind the varying rates.
Another concern raised by the Congress leader was the registration fee structure. Citing Maharashtra as an example, Babu argued that a maximum ceiling on registration charges could be considered in the islands so that registration costs do not increase proportionately with the value of the property.
He further claimed that the amendment introduces a 2 per cent stamp-duty liability at the stage of a sale agreement based on market value. Babu questioned the rationale for imposing a charge at the agreement stage when stamp duty would subsequently be payable when the final sale deed is executed.
Babu also raised concerns over provisions relating to powers of attorney, claiming that the amended framework could result in stamp duty being linked to circle rates in certain cases. He argued that a power of attorney is a delegation of authority rather than a completed property transaction and said the provision could create an additional burden.
The Congress leader also questioned provisions relating to transfers of property among family members and the treatment of ancestral property. He argued that the provision allowing a nominal charge for certain ancestral-property transfers may have limited practical relevance in the islands, where, according to him, much of the land originated through government allotments.
Babu further raised the issue of restrictions on disposing of individual plots within a revenue circle. He argued that residents facing urgent financial or medical needs should be able to sell a portion of their property without being required to dispose of other holdings.
He also questioned a proposed requirement concerning document writers, arguing that mandatory involvement of authorised document writers could add to the cost and difficulty of completing property transactions, particularly for residents of inter-island areas.
Calling for a wider consultation, Babu urged the Andaman and Nicobar Administration to discuss the amendments with affected residents and other stakeholders before they are implemented.
Babu said the stated objective of improving ease of doing business should be reflected in simpler and more accessible property procedures. He also urged Anil Tiwari to raise the concerns with the administration and seek clarification or changes to provisions that, according to him, could increase the burden on island residents.
The claims made by Babu at the press conference concern provisions of the recently approved amendments; their precise applicability and implementation will depend on the final notification and administrative orders issued by the competent authority.
