The main legal point established in the judgment is that the exemption notification dated 16-6-1999 extended to the additional stamp duty levied under Section 3-B of the Karnataka Stamp Act, 1957, granting exemption up to 50% of the total stamp duty payable in respect of the transactions referred to.

( 1 ) PETITIONER has sought for quashing of three demand notices under annexures-G, H and J, whereby the petitioner has been asked to pay certain amounts of additional stamp duty payable under Section 3-B of the Karnataka Stamp Act, 1957 ('the Act', for short) on the premise that such stamp duty paid in respect of three transactions referred to in the demand notices was less than what was actually due under Section 3-B of the Act and the petitioner was required to make good the difference.

( 2 ) PETITIONER being aggrieved by this demand notice, has approached this Court for relief on the premise that the demand is not in consonance with the provisions of the Act, but in fact is in contravention of a notification dated 16-6-1999 issued by the Government in exercise of its power under Section 9 (l) (a) of the Act and these demand notices are required to be quashed and the petitioner is not liable to make good this amount.

( 3 ) THE State Government has been conferred the power to reduce stamp duty payable under the Act upto 50% or any part of it either prospectively or retrospectively with reference to any area in the State if the State Government is of the opinion that it is necessary to do so in public interest. The exemption could be with reference to a particular class of instruments or with reference to a particular class of persons in whose favour the instrument is executed.

( 4 ) THE area of controversy is limited and requires to be resolved on an interpretation of this notification dated 16-6-1999 issued under Section 9 (l) (b) of the Act. The controversy is that while the petitioner-claims that this exemption notification extends the benefit of such concession in respect of levy of additional duty payable under Section 3-B of the Act also and not merely levy of duty under Section 3 of the Act, the stand on behalf of the respondents is that the exemption under the notification is confined to levy of stamp duty under Section 3 of the Act and it does not extend to the additional stamp duty levied and collected under Section 3-B of the Act. Though the petitioner could have been relegated to the normal procedure of contesting the demand notices in accordance with the provisions of the statute, as the only question that arises for determination is dependent on the interpretation of the notification and in the light of the provisions of Section 9 of the Act, matter is taken up for consideration even under Article 226 of the Constitution of India.

( 5 ) RULE is issued in the matter.

( 6 ) A common statement of objections has been filed on behalf of the respondents namely, the State of Karnataka, the first respondent and the Sub-Registrar, K. R. Puram, Bangalore, the second respondent, jointly reiterating the stand in support of the demand.

( 7 ) I had occasion to hear this matter at length on earlier occasions and after such hearing, I had passed on order on 1-8-2003, which reads as under. "petitioner claims to have purchased three parcels of immovable properties from Messrs Information Technology Park Limited, as per three sale deeds all dated 13-12-2000 and sale consideration as indicated in the three documents are Rs. 15,64,16,080/-, Rs. 11,61,98,726/- and Rs. 23,53,650/- respectively. These documents were presented for registration on the same day before the Sub- registrar at KR. Puram, Bangalore and it is claimed that the petitioner had paid the required stamp duty of Rs. 62,37,680/-, Rs. 46,28,960/- and Rs. 75,160/- respectively. These documents on being presented for registration have been assigned pending registration numbers as P. 115, P. 116 and P. 117 of 2000-01 respectively by the Sub-Registrar. 2. The grievance of the petitioner is that the Sub-Registrar instead of registering the documents as is required under the provisions of the Registration Act has subsequently issued three demand notices calling upon the petitioner to pay an additional stamp duty of Rs. 90,22,060/- (Rupees Ninety lakhs