New Guidance Values for Bangalore Announced The Government of Karnataka announced a proposed revision to the guidance value of properties in Bangalore for the fiscal year 201415 on 15th October this year. As per the proposed revision, property prices in the city have gone up by about 15-25 per cent in various localities compared to those of last year (201314). What is ‘Guidance Value?’ Guidance value refers to the minimum prices set by the government of the state for a particular road or area. Properties in these areas cannot be registered under this guidance value. The income tax department uses this guidance value to calculate capital gains tax. The guidance value is decided by a committee formed by the Inspector General of Registrar (IGR). The previous guidance values for the city of Bangalore were laid out during the year 2013-14. A guidance value does not however reflect the actual market value of properties in the area, as the market value may be higher or lower than the guidance value.
Guidance values in important areas Following are the guidance values of some important areas across Bangalore.
Table: Guidance value of properties in Bangalore Areas
Guidance
value
(thousand Guidance
value
Rs/sq. ft) in 2013
Rs/sq. ft) in 2014
Ashok Nagar
6,000
6,500
Cunningham Road
8,000-12,500
8,400-14,000
Lavelle Road
12,800
13,500
M G Road
15,200
17,000
K R Puram
1,900-2,600
2,600-4,100
Marathahalli
3,000-5,000
3,750-6,250
Whitefield
2,400-5,000
2,800-7,200
Begur Road
2,000
2,600
J P Nagar
1,200-8,500
1,400-9,400
Bannerghatta Road
1,700-7,500
1,800-8,500
Koramangala
4,000-7,000
6,000-8,000
Hebbal
5,250-6,000
6,300-7,200
Malleswaram
3,000-10,000
3,500-13,000
Rajajinagar
2,500-8,500
3,200-9,000
Peenya
1,800-3,700
2,200-4,600
(thousand
As one may see from the above table, the guidance value of several important areas have witnessed an increase of at least Rs 100 per sq. ft. Other important areas such as Jayanagar, Yeshwantapur, BTM Layout and Basavanagudi have also seen an increase in guidance value. While the government claims that the increase in guidance value will lead to a reduction of black market transactions and an increase in the revenue, builders and buyers have cribbed about the increased values, due to the increased charges that will have to be paid for registering a property. Once it is proposed, the public will be given about 15 days to file any objections before finalising the new guidance values. Source: CommonFloor.com For Latest Updates on Real Estate Updates, Property News and Cities Infrastructure Developments Visit: http://www.commonfloor.com/guide
Copyright Š 2007-14 CommonFloor.com. All rights reserved.