Hyderabad, Oct 24th: The Andhra Pradesh Government on Oct 24 decided to reduce the Stamp Duty to five per cent by the end of 2012. The decision was taken by Chief Minister K Rosaiah at a review meeting, in keeping with implementation of the mandatory reforms committed by the State in its Memorandum of Agreement with Union Ministry of Urban Development for sanction of projects under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), an official release here said. It may be noted that the Centre had sanctioned Rs 12,523.86 crore for JNNURM projects in Andhra Pradesh.

The Chief Minister said his government took the decision in spite of shortfalls in revenue realization to dovetail the JNNURM funds. The Chief Minister also wrote to Union Urban Development Minister Jaipal Reddy urging the Center’s concurrence it its proposal to reduce Stamp Duty to seven per cent by the end of 2011 and reduction to five per cent by the end of 2012 and seeking release of pending installments for JNNURM works, the release said. The State Government had reduced Stamp Duty from 13.5 per cent to 11 per cent and then to 9.5 per cent on the value of instrument from August 2005 well before the commencement of JNNURM.