Permissions under Urban Land (Ceiling & Regulations) Act, 1976:

A ceiling on holding of urban vacant land has been imposed under the above Act. The limit depends upon the category of urban agglomeration and between five hundred square meters to two thousand square meters. The limit in cities like Delhi, Mumbai, Kolkata & Chennai is 500 square meters. Section 26 of Urban Land (Ceiling & Regulations) Act 1976 requires a notice to be given to the competent authority as prescribed under the Act before transfer of any land within the ceiling limit by way of sale, gift, mortgage or lease. The competent authority may exercise an option to purchase the land for the Government and the sale can be effected only if no such option is exercised within 60 days from the receipt of notice.

The BJP government in its maiden Budget by the Finance Minister Yashwant Sinha has been proposed to swap the entire Urban Land (Ceiling & Regulation) Act, 1976. There has been a lot of debate both pro and against and the issue is not settled till date and therefore only time will till as to whether the urban land (Ceiling & Regulations) Act, 1976 will be repeated or continued.

Courtesy : Mr.Vimal C. Punmiya

501 Niranjan, 99 Marine Drive, Mumbai 400002