Registering authorities power and duties on detection of design for evasion of stamp duty
Querist :
Anonymous
(Querist) 04 October 2011
This query is : Resolved
A MATTER OF SUPPRESSION AND MISREPRESENTATION OF FACTS WHICH AFFECTS FAIR VALUE DETERMINATION OF THE PROPERTY TO BE REGISTERED FOR STAMP DUTY PURPOSE IS BROUGHT TO THE NOTICE OF THE REGISTERING AUTHORITY ALONG WITH DOCUMENTARY EVIDENCE.
WHAT ARE STEPS WHICH THE REGISTERING AUTHORITY IS TO TAKE AS PER CIVIL AND CRIMINAL LAW PROVISIONS.
MORE IMPORTANTLY THE SET FORTH CONSIDERATION IN INSTRUMENT(THIRTY LAKHS) IS NOT EVEN 13% OF THE FAIR MARKET VALUE(TWO CRORES SIXTY LAKHS) DETERMINED BY THE STAMP DUTY AUTHORITY.
IS NOT THE REGISTERING AUTHORITY SUPPOSED TO BRING THIS TO STATE GOVERNMENTS NOTICE FOR POSSIBLE ACQUISITION OF THE PROPERTY.
IF THE R.O. APPEARS TO BE INFLUENCED, WHAT ARE THE AVAILABLE OPTIONS.
ajay sethi
(Expert) 04 October 2011
where are you located / if document is understamped then it can be impoundedby the collector
33. Examination and impounding of instruments. - (I) Every person having by law or consent of parties authority to received evidence, and every person incharge of a public office, except an officer of police before whom any instrument chargeable, in his opinion, with duty, is produced or comes in the performance of his functions, shall, if it appears to him that such instrument is not duly stamped impound the same.
Bar against admittance in evidence of un stamped or insufficiently stamped document -The bar is not absolute. Bar stands removed as soon as duty chargeable with prescribed penalty is paid. Person producing unstamped or insufficiently stamped document has a right to claim that instrument be admitted in evidence on payment of deficient stamp and penalty. Saran Dos v. Smt. Sila, 1986 (1) LLR 275 (HP).
ajay sethi
(Expert) 04 October 2011
Impounding of document for under payment of stamp duty. - Production of document after 3 months of its execution - Document does not become invalid - It makes the only difference that if it is produced within three months, the stamp duty can be collected without impounding and without penalty - If produced after 3 months, the document can be impunded u/s 33 and stamp duty and penalty are levied - Once the Stamp duty and penalty is paid, an endorsement to that effect has to be made on it U/S 42(1) and the original document is to be returned tothe party.Malaysian Airlines Systems Bhd v. Mis. Stic Travels (P) Ltd, 200/(2) RCR(Civil) 45(SC) 19.
Querist :
Anonymous
(Querist) 04 October 2011
but what about the misinformation or suppression of facts in VALUATION DETERMINATION query to the registrar for determination of value for stamp duty.
age,usage,size, condition - (FOR UNDERVALUE).
if stringent action is not taken will it not amount to encouraging attempts to evade rightful revenue i.e, you try submitting misinformation OR SUPPRESS INFORMATION for valuation WITH AN APPARENT INTENT OF UNDER VALUE, and when you are caught you are let off by paying the deficient duty.I DONT THINK SO, THAT LAW IS SO WEAK, AS NOT TO PENALIZE THE WRONG DOER.
Sailesh Kumar Shah
(Expert) 04 October 2011
you are saying right.Section 64 attracts the case.Which says:
Penalty for omission to comply with provisions of Section 27. - Any person who, with intent to defraud the Government, - (a) executes any instrument in which all the facts and circumstances required by Section 27 to be set forth in such instrument are not fully and truly set forth; or (b) being employed or concerned in or about the preparation of any instrument, neglects or omits fully and truly to set forth therein all such facts and circumstances; or (c) does any other act calculated to deprive the Government of any duty or penalty under this Act; shall be punishable.
Querist :
Anonymous
(Querist) 04 October 2011
shailesh sir, can you please elaborate further which act-stamp, regn, or t.p.,
moreover isnt the registrar responsible for suo-motu proceedings as and when he receives the information.
Sailesh Kumar Shah
(Expert) 04 October 2011
1.Indian Stamp Act.
2.The collector have wide power to deal such matters.
prabhakar singh
(Expert) 04 October 2011
What ever you say but legislature have so far legislated only one law cited by experts"Indian Stamp Act." and punishment maximum provided for is 10 times of deficiency.The Act has been amended by state also.
Raj Kumar Makkad
(Expert) 04 October 2011
There is no more provisions except Stamp Act are applicable in such matter. Your own status and locus standi has not been disclosed by you especially when you say that RO is involved with the concerned party to sale. Why do you want resumption of such property under deed?
prabhakar singh
(Expert) 05 October 2011
Some short of jealousy, revenge or rivalry and NOT NATIONAL interest should be the cause Mr.Makkad.We have routine experience why to inquire.
