CIRCLE RATES IN MANY AREAS OF ARA WILL INCREASE

CIRCLE RATES IN MANY AREAS OF ARA WILL INCREASE

14-FEB-ENG 14

RAJIV NAYAN AGRAWAL

ARA--------------------------After nearly 13 years, the administration has begun the process of revising the Minimum Value Register (MVR). According to the new proposal, government land rates in many areas could increase several times, directly impacting stamp duty and registration costs.

There's significant news for land buyers and sellers in Bihar's Bhojpur district. Circle rates in Ara city and its surrounding areas are expected to increase by nearly 100 percent or more. Consequently, the registration office is urging people to avoid additional expenses by registering as much land as possible before April. Land registration after April could become more expensive.

After nearly 13 years, the administration has begun the process of revising the Minimum Value Register (MVR). According to the new proposal, government land rates in many areas could increase by several times, directly impacting stamp duty and registration costs.

Until now, land prices in the district were determined based on the old circle rate, while market rates have risen significantly. To bridge this gap, new land rates are being set by category. Rates are expected to increase the most in urban areas, lands along main roads, and rapidly developing areas. Circle rates will also increase in rural areas, although the increase is expected to be relatively small.

There are several rural villages around Ara city that have now become almost urban, but registrations there are still being conducted at rural rates. Sub-Registrar of the Registration Office, Tarkeshwar Pandey, stated that the district's circle rates are being re-determined as per the Bihar government's directive. The market value of all villages will be assessed and the new rates will be determined accordingly. The Registration Office will survey the market value of each village and determine the final rate.

Sub-Registrar Tarkeshwar Pandey stated that circle rates are likely to increase by 100 to 200 percent in several mauzas surrounding Ara city. These include mauzas like Pakriyabar, Bompali, Jamira, Kayamnagar, Godna, Piprahia, Gothula-Bhusaula, Tetaria, Udwantnagar, Kasap, and Kalyanpur, where rates may increase several times.

Similarly, within the municipal corporation area, there are many areas that were previously agricultural land but have now been converted into commercial or residential areas. Circle rates in these areas are also likely to increase by 100 to 150 percent. Villages like Dharhara, Dhanupra, and Bahiro, which have now become part of the urban area, are also likely to see a significant increase in rates.

Once the new rates are implemented, stamp duty and registration fees for land purchases and sales will also increase. For example, land currently valued at ₹5 lakh by the government could be valued at ₹10 to ₹20 lakh after the revised MVR is implemented. This will result in buyers having to spend more, while sellers may also face increased tax liabilities.

According to the sub-registrar, the MVR revision aims to increase government revenue and record the actual market value of land, curbing the tendency to register undervalued land. For a long time, the government was losing revenue due to the low government rates. Implementation of the new rates will also increase transparency in land transactions.

The final list of new rates is currently being prepared, and objections may be invited. Once the new rates are implemented in April, purchasing land in Bhojpur district will become significantly more expensive than before. Therefore, those planning to purchase land are considering registering before the deadline to avoid the additional burden of the increased circle rate.