LDA asks developers to execute transfer, mortgage deeds

[Salman]

Lahore Development Authority (LDA) has called upon the developers of approved private housing scheme for executing transfer deed and mortgage deed of land reserved for roads, streets, parks, playgrounds, graveyards and public utility sites in the approved housing scheme in favour of LDA within three weeks, in the office of sub- registrar.

In case of non-compliance, LDA will be constrained to initiate strict legal action under the law, disclosed a LDA's spokesperson on Friday. The developers have been informed that Punjab Revenue Department has exempted the levy of the stamp duty, capital value tax and registration fee on the transfer of the land reserved for roads, streets, parks, playgrounds, graveyards and public utility sites in an approved housing scheme in favour of concerned development authority. A notification (No 517-2013/455-ST(I), dated March 16, 2013) has been issued in this regard.

Similarly, Punjab Local Government and Community Development Department has also exempted one percent tax levied on transfer of immovable property on transfer of land under Punjab Private Housing Scheme and Land Sub-Division Rules, 2010, vide notification No SOR(LG) 38-2/2004, dated March 12, 2013. A number of cases of execution of transfer deed and mortgage deed in favour of LDA by the developers of some approved private housing schemes had been pending due to imposition of heavy fees on such transactions. This long standing issue has since been resolved.