Stamp duty on agricultural land cannot be evaluated at residential rates without a legal declaration, reinforcing the agricultural character despite proximity to residential properties.

1. Heard learned counsel for the petitioner and Sri Nimai Das, learned Standing Counsel.

2. The petitioner purchased half of the agricultural land through sale deed No. 4374 on 24.08.2011 being Khasra No. 231 ad measuring 0.501 hectare i.e. 0.2505 hectare in Villega Gahri Tamna, Chungi Bazar, Hathras. On inspection report, stamp case no. 34 of 2011 was registered under S.47 - A of Indian Stamp Act 1899. The petitioner in his objection to the notice stated that the disputed property is an agricultural land and is used as such, there is no residential activity within 200 meters of property in question, further, no declaration under S.143 of U. P. Z. A. & L.R. Act has been notified regarding the change of land use.

3. The Collector by order dated 22.01.2013, determined the stamp deficiency of Rs. 1,94,125/- and imposed penalty of equal sum along with interest @ 1.5% per month. Aggrieved, petitioner filed appeal no. 15/79 of 2012-13 before the respondent no. 2, Additional Commissioner (Stamp) Aligarh Division, Aligarh, which was rejected on 31.05.2013 on the ground that the property in question is situated in the vicinity of agricultural land being plotted for residential purposes, and hence, the property in question was valued at residential rate considering the potentiality of the land.

4. The petitioner is assailing the order dated 31.05.2013 passed by the respondent no. 2, Additional Commissioner (Stamp) Aligarh Division, Aligarh and order dated 22.01.2013 passed by the Collector, Hathras.

5. The contention of learned counsel for the petitioner is that the impugned order has been passed on ex parte inspection report, no material was available with the respondents which could have been the basis of determining the market value. The petitioner has paid the stamp duty in excess of the stipulated rate prescribed by the Collector, thus, mere situation of the property in close proximity to residential area will not enhance the market value of the property. Admittedly, the property was recorded as agricultural land and there is no declaration under S.143 of the U. P. Z. A. & L. R. Act.

6. Per contra, Sri Nimai Das, learned Standing Counsel would submit that the minimum value as referred to under S.47 - A has to be read along with Art.23(a) of Scheduled 1 - B of the Act which refers to market value on which stamp duty is payable on conveyance, thus, the minimum value determined by the Collector need not reflect the market value of the property. It is admitted that the property is situated in the vicinity of land being plotted for housing purpose, merely because the property is recorded as an agricultural land would not mean that the market value of the property is of an agricultural land. Declaration under S.143 of the U. P. Z. A. & L. R. Act has no bearing in determining the market value of the land for the purposes of stamp duty.

7. Rival submissions fall for consideration.

8. The conveyance instrument categorically states that the land in question is situated out side the urban area, "Chungi Bahar, Hathras" and as per the circle rate of agricultural land stamp duty of Rs. 68,900/- was paid. The land is Bhumidari (Sankramaniya) being Khasra No. 231, land revenue payable is Rs. 24.80 paisa, the property in question is bounded on all sides by agricultural land belonging to different persons as is reflected from the map at the foot of the instrument.

9. The proceedings under S.33/47 - A was instituted, based on spot - inspection report dated 29.09.2011, submitted by sub-Registrar. It was reported that the land in question is a bhoomidhari land (agricultural) situated in abadi, further, the lands adjoining the property in question i.e. khasra no. 225, 235, 251, 245, 233 etc. is being