The central legal point established in the judgment is that the nature of land use at the time of purchase is crucial for stamp duty calculation, and the authorities cannot enhance market value without proper reasoning and recourse to relevant provisions of the Act.

JUDGMENT

(Prayer in CMA(MD).No.106 of 2020:- Civil Miscellaneous Appeal filed under Section 47-A (10) of the Indian Stamp Act, to call for the records and set aside the order passed by the 1st respondent in Ref.No.Pa.Mu.46882/N5/2007 dated 13.10.2010 confirming the order of the 2nd respondent in Ref.No.Ci.Pa.No.1355/2005-A1 dated 20.07.2007.

In CMA(MD).No.166 of 2023:- Civil Miscellaneous Appeal filed under Section 47-A (10) of the Indian Stamp Act, 1899 r/w Tamil Nadu Stamp (Prevention of Under Valuation of Instruments) Rules R.9(5)(a) and Order 43 Rule 1 (U) of C.P.C, to call for the records and set aside the order passed by the 1st respondent in Ref.No.46880/N5/2007 dated 16.06.2010 confirming the order of the 2nd respondent in Ref.No.Ci.Pa.No.1353/2005-A1 dated 20.07.2007.)

Common Judgment:

1. The present appeals have been filed by the husband and wife who have purchased the adjacent properties challenging the orders passed by the Inspector General of Registration under Section 47-A(5) of the Indian Stamp Act, 1899.

CMA(MD).No.106 of 2020:

2. The appellant had purchased the agricultural land measuring 99 cents in T.S.No.1356/1 and 1356/2 by way of registered sale deed dated 27.03.2004 at the rate of Rs.6350/- per cent. As per Government records, the lands have been classified as Punja lands. After registration, the Sub-Registrar had referred the document under Section 47-A of the Indian Stamp Act, 1899 to the Special Deputy Collector (Stamps) for determination of market value of the lands and for payment of deficit stamp duty.

3. The Special Deputy Collector (Stamps) determined the value of the property at the rate of Rs.160/- per sq.ft. According the said authority, he relied upon the inspection report has arrived at a finding that the lands have to be valued at the rate of per square feet.

4. The appellant herein had filed an appeal before the Chief Revenue Controller and the Inspector General of Registration. The Inspector General of Registration had sought for a report from the Special Deputy Collector (Stamps). As per the report of the Special Deputy Collector (Stamps), the town survey number is located ¾ kilo meter away from the residential area located in Adakara Street. In the said report, it was also recorded that on the western side of the property, Christian cemetery is located. On the eastern side, the cremation ground of Hindus is located. On the southern side, the cremation ground of Muslims namely Thaika is located. The area is in a highly insanitary condition and the sewage water stagnation is also there. Though the lands are agricultural lands, now they are vacant.

5. A report was submitted by the District Registrar after inspection to the effect that there are no housing plots, commercial establishment or residential area in and around the survey number. Since there are cemeteries and burial ground around the property, there is no likelihood of developing the said property as a residential area in the near future. That apart, the lands are 3 feet below the main road and it is used as a dumping yard. Though the report of the Special Deputy Collector (Stamps) and the report of the District Registrar are referred to in the impugned order, the Inspector General of Registration proceeded to increase the market value of the property to Rs.200/-per sq.ft considering the fact that they remained as vacant land and they are likely to be used in future for better purpose. This order is under challenge in the present appeal.

CMA(MD).No.166 of 2023:

6. The appellant had purchased 40 cents of lands in T.S.No. 1356/1A and 1356/1B at the rate of Rs.7,500/- per cent by way of a registered sale deed dated 11.07.2005. The Special Registrar had referred the document for fixation of correct market value and payment of deficit stamp duty to the Special Deputy Collector (Stamps) under Section 47-A of the Act. The Special Deputy Collector (Stamps) has passed an order on 20.07.2007 fixing the market value at the rate of Rs.160/- per sq.ft.