SBI Term Loan: RLLR: 8.15 | 7.25% - 8.45%
Canara Bank: RLLR: 8 | 7.15% - 10%
ICICI Bank: RLLR: -- | 8.5% - 9.65%
Punjab & Sind Bank: RLLR: 7.3 | 7.3% - 10.7%
Bank of Baroda: RLLR: 7.9 | 7.2% - 8.95%
Federal Bank: RLLR: -- | 8.75% - 10%
IndusInd Bank: RLLR: -- | 7.5% - 9.75%
Bank of Maharashtra: RLLR: 8.05 | 7.1% - 9.15%
Yes Bank: RLLR: -- | 7.4% - 10.54%
Karur Vysya Bank: RLLR: 8.8 | 8.5% - 10.65%

Kerala slashes building permit fees and introduces property tax rebate

#Taxation & Finance News#India#Kerala
Last Updated : 5th Aug, 2024
Synopsis

The Kerala government has announced significant reductions in building permit fees, effective August 1. Houses between 81-300 square meters will see fee cuts of at least 50%, with some areas experiencing up to 60% reductions. This follows last year's exemption for buildings up to 80 square meters. The new rates vary by local administrative zone, with specific reductions outlined for village panchayats, municipalities, and corporations. Despite already having India's lowest permit fees, the government implemented these cuts in response to public demand. Additionally, a 5% rebate will be offered on property tax if paid in full by April 30, marking Kerala's first such tax exemption. These measures aim to make construction more affordable and encourage timely tax payments.

The Kerala government has announced significant reductions in building permit fees, set to take effect on August 1. This decision comes after last year's exemption of buildings up to 80 square metres from permit fees.


Under the new policy, houses ranging from 81 to 300 square metres will see permit fee reductions of at least 50%. Notably, homes between 81 and 150 square metres within corporation limits will benefit from a substantial 60% fee reduction.

Local Self-Government Department Minister M B Rajesh provided specific details on the fee structure changes. In village panchayats, permit fees for houses between 81 and 150 square metres will decrease from INR 50-150 to a flat rate per square metre. Similarly, municipalities will see a reduction from INR 70 to INR 35, while corporations will drop from INR 100 to INR 40 per square metre.

Minister Rajesh emphasized that despite Kerala already having the lowest building permit fees in India, the government decided to implement these significant reductions in response to public demand. This move aims to make construction more affordable for residents across various local administrative zones.

The government introduced a new incentive for prompt property tax payment in addition to the permit fee reductions. Property owners who pay their full annual tax by April 30, the first month of the financial year, will receive a 5% rebate. This marks the first time in Kerala's history that such a tax exemption has been offered. These measures reflect the government's efforts to ease financial burdens on homeowners and encourage timely tax payments. By reducing construction costs and offering tax incentives, Kerala aims to stimulate housing development and improve overall compliance with local regulations.

Have something to say? Post your comment