Huge Revenue from Land Pooling Policy to the Government

The ongoing tussle of Land Pooling Policy is expected to provide 25 lac affordable houses in Delhi. 25 lacs! That’s a staggering number if we are talking about houses. Not only that these houses will be at reasonable prices but they will be constructed in a posh area where the infrastructure will be constructed by the government. In a sense, this Smart City which is planned under Master Plan Delhi 2021 is a celebration of life and common man’s hard work. People are fed up of living in these unauthorized congested places. Thus, people will get their dream homes in Delhi. The government should realize that by delaying LPP, they are delaying the arrival of a huge sum of money which can be used to further hamper the development of India and its weaker states.

Apart from collecting stamp duties from these 25 lac houses, the government will be getting revenues from other departments as well. Since, for this land pooling development, around 95 villages will be converted into urban areas and hence a vast land would be possessed by the government. A total of 10,000acre land is estimated to be cleared to make Delhi’s biggest Smart City. On this big piece of land, the government will be constructing infrastructure and will be selling the land to the private builders so that they can make residential and commercial spaces. Thus, a huge some of the revenue money from land selling is waiting for the government. The staggering tax revenue from the houses and land will be further enhanced by the revenues from shops, offices and other taxes.

The government of Delhi should realize that by delaying Land Pooling Policy they are not only delaying development to the people of Delhi, they are also delaying development for the coming generation as money generated through revenues will be enormous and can be used judiciously and resourcefully for the coming generation’s welfare. Also, the government is denying the economically weaker class their right to be prospered by the tax money. Thus, we would like the Aam Admi Party to see these multiples benefits of LPP and come with a quick solution.

Just to clear the perspective on how much money the government will be making, it is a staggering Rs2 lac crore and plus. Following is small table which can showcase how much revenue will be generated and from which source.

    Type         Amount Approx. Price
per unit
Stamp Duty on single unit (lac)  Total revenue from the source
(crore)
     Land    10,000 acres     7 cr.        17.5-24.5      2,000
    Shops       36,000     40 lac             2.8    14,4000
    Offices       50,000     20 lac             1.4      700
    Houses        15 lac     50 lac             3.5     1.75 lac
Facebooktwittergoogle_pluslinkedin