Punjab Governor Banwarilal Purohit clears three Bills pending since winter session

Chandigarh, January 7

With Governor Banwarilal Purohit giving his assent to the three Bills, passed by the Vidhan Sabha during its winter session in November, the cash-strapped government hopes to rake in Rs 1,000 crore through the imposition of duties.

The Governor has given his go-ahead to the Registration (Punjab Amendment) Bill, 2023; Transfer of Property (Punjab Amendment) Bill, 2023; and Indian Stamps (Punjab Amendment) Bill, 2023. Chief Minister Bhagwant Mann has thanked him, saying that these Bills were necessary to be enacted for the benefit of people.

Two to be sent for Prez nod

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• The Governor has given his go-ahead to the Registration (Punjab Amendment) Bill, 2023, Transfer of Property (Punjab Amendment) Bill, 2023 and Indian Stamps (Punjab Amendment) Bill, 2023
• CM Bhagwant Mann has thanked him, saying that these Bills were necessary to be enacted for the benefit of people
• The Registration (Punjab Amendment) Bill, 2023, and Transfer of Property (Punjab Amendment) Bill, 2023, will be sent for the President’s nod

Two of these – the Registration (Punjab Amendment) Bill, 2023; and Transfer of Property (Punjab Amendment) Bill, 2023 – will be sent for the President’s nod, while the third one will soon be notified, making it into a law.

The duties imposed through these Bills – imposition of new duties on making of power of attorneys, seeking bank loans through equitable mortgages and on hypothecation of vehicles – will start flowing into the coffers of the state.

Finance Minister Harpal Cheema told The Tribune that the money thus flowing in the state’s coffers would be used for providing more citizen-centric services. “There is no extra burden on the people. The money, being given to banks as charges, will now be coming to the state,” he said.

The Registration (Punjab Amendment) Bill, 2023, is necessary as whenever a property is sold in a public auction by a revenue officer or a civil court, a sale certificate is issued by that officer on which 3 per cent stamp duty is levied. But this sale certificate is not registrable as per the existing law, so generally neither stamp duty is paid on such a sale certificate, nor it is registered.

Apart from being a violation of the law, the government also loses stamp duty of crores of rupees in this process and in case of a court case, the buyer faces legal problems in the absence of correct stamp duty on the sale certificate. Therefore, this Bill makes this document registrable, so that the government can get stamp duty in the sale certificate and the public does not face any legal problem.

Likewise the Indian Stamp (Punjab Amendment) Bill, 2023, deals with power of attorney outside family relationships as, at present, only Rs1,000 to Rs 2,000 stamp duty is levied in such power of attorney irrespective of the value of the land. By misusing the facility, to save the stamp duty levied on the sale deed, often the properties are illegally sold through power of attorney whereas it can be revoked at any time and its legal recognition in any manner is not equivalent to a sale deed.