Haryana Cabinet which met under the Chairmanship of Chief Minister Sh. Nayab Singh Saini here today approved to remit the stamp duty chargeable under Article 23(a) of Schedule 1-A of the Indian Stamp Act, 1899 and the registration fees chargeable under Sections 78 and 79 of the Registration Act, 1908 on the transfer of 2988 acres of land by the Civil Aviation Department, Haryana in favour of National Industrial Corridor Development Corporation Limited for development of the Integrated Manufacturing Cluster at Hisar .Airport under the Amritsar-Kolkata Industrial Corridor Project.
The financial implication to remit the stamp duty and registration fee shall be of Rs. 132.41 crores (approx.), Rs. 131.91 crores on account of stamp duty and Rs. 50,000 for the purpose of registration fee, which is to be exempted/remitted. The Integrated Manufacturing Cluster at Hisar Airport is envisaged as a major industrial and logistics hub which is expected to promote planned industrialization, attract domestic and foreign investment, generate large-scale employment opportunities and strengthen economic development in the region as well as in the State.
The project is also likely to enhance connectivity, logistics infrastructure and ease of doing business in Haryana. Since the land is proposed to be transferred by one Government Department in favour of a Government-backed Special Purpose Vehicle exclusively for implementation of the AKIC Project, levy of stamp duty and registration fees would result in substantial additional financial burden on the project without corresponding revenue gain to the State in practical terms.
Grant of exemption/remission would facilitate smooth and cost-effective execution of the project and would support timely implementation of the industrial corridor initiative. Notably, the State Government is empowered to grant such remission in exercise of the powers conferred under Section 9 of the Indian Stamp Act, 1899, which empowers the Government to reduce or remit, whether prospectively or retrospectively, the whole or any part of the duties chargeable on instruments.