GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE  AND  REHABILITATION

(STAMPS)

 

Order

 

The 17th August, 1984

 

 

No. S. O. 59/C. A. 2/1899/ S. 9/84

 

            In exercise of the powers conferred by clause (b) of sub-section (1) of section 9 of the Indian Stamp Act, 1899 (Central  Act  No. 2 of 1899), and    all   other powers

enabling him in this behalf, the President of India is pleased to allow the Incorporated companies and other bodies corporate to consolidate with the prior approval of the Government of Punjab in the Department of Revenue and Rehabilitation the, stamp duty chargeable on debenture certificates to be issued to the debenture holders by such companies and bodies corporate and to deposit the consolidated amount of such duty in the Government Treasuries under the sub-heads “Debentures Certificate”, below the Major Head or Sub-Major or Minor Head “030—Stamps and Registration Fees—C-Stamps—Non-Judicial—(c)—other Receipts” and to endorse each debenture certificates, with the words “Consolidated Stamp Duty Paid” after depositing the consolidated stamp duty.

 

 

                                                B. B. MAHAJAN

Financial Commissioner, Revenue and

Secretary to Government of Punjab,

Department of Revenue and Rehabilitation

 


 

 

GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE  AND  REHABILITATION

(REGISTRATION)

 
Notification

 

The 17th September, 1985

 

No. S.O. 51/C. A. 16/1908/Ss. 78 and 79/Amd./85:

 

            In exercise of the powers conferred by sections 78 and 79 of the Registration Act, 1908 (Central Act No. VI of 1908), and all other powers enabling him in this behalf, the President of India is pleased to make the following amendments in the Government of Punjab, Department of Revenue and Rehabilitation  (Registration), Notification No. S. O. 25/C. A. 16/1908/Ss. 78-79/80/6056, dated the 15th April, 1980, namely :-

 

AMENDMENT

 

            The said notification, under the head “Table of Registration Fees” after the existing provisos to Article 1, the following proviso shall be added, namely :-

 

            Provided further that no  registration fee shall be chargeable on any mortgage deed without possession executed by the persons belonging to the weaker sections of the society with annual income less than three thousand and six hundred rupees for securing loan not exceeding thirty-five thousand rupees from any commercial or banking institutions for the purchase of pumping set, cane crusher, spray equipment, sprinkler irrigation, dairy, piggery poultry or gobar gas plants.”

 

                                                USHA VOHRA

Financial Commissioner, Revenue and

Secretary to Government of Punjab,

Department of Revenue and Rehabilitation

 


           
 GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE  AND  REHABILITATION

 
Notification

 

The 10th August, 1989

 

 

No. S.O. 74/C. A. 4/1882/S. I/89:

 

            In exercise of the powers conferred by section 1 of the Transfer of Property Act, 1882 (Central Act 4 of 1882), the President of India is pleased to extend the provisions of section 118 of the said Act to the urban area of the State of Punjab with effect  from the date of publication of this Notification in the Official Gazette.

 

            Explanation:   In this notification, urban areas mean:-

 

(i)         the local areas which are declared to be Municipalities or Notified Area Committee under the provisions of the Punjab Municipal Act, 1911;

 

(ii)        the local areas which are constituted to be Cities under the provisions of the Punjab Municipal Corporation Act, 1976; and

 

(iii)       the areas declared to be as urban estates under the provisions of the Punjab Urban Estates Development and Regulation Act, 1964.

 

 

                                                SADA NAND

Financial Commissioner, Revenue and

Secretary to Government of Punjab,

Department of Revenue and Rehabilitation

 

 

 
GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE

 

(STAMP  AND  REGISTRATION  BRANCH)

 

To

 

            1.         All the Sub-Registrars (Tehsildars)

                        in the State.

 

            2.         All Joint Sub-Registrars in the State.

 

            Memo No.       24/177/89/ST-I/32/3213, Chandigarh, dated the 1st June, 1990

 

Subject:            Creation of charge on land in favour of Bank by declaration under the Punjab Agricultural Credit Operations and Miscellaneous provision (Banks) Act, 1979—Clarification regarding.

 

According to provisions of Section 4(i) of the Punjab Agricultural Credit Operation and Miscellaneous provisions (Banks) Act, 1979, an Agriculturist can create  a charge on immovable property which he owns in respect of any financial Assistance given to him by Financial Institutions by making a declaration on the lines of form set out in Schedule of the said Act.  A question has arisen as to whether a charge created in terms of provisions of Section 4(i) of the Punjab Agricultural Credit Operations and Miscellaneous provisions (Banks) Act, 1979 is to be executed on stamp paper of prescribed value and require formal registration under the Registration Act, 1908 or not.  The matter has been considered in consultation with the Law Department.  The Law Department have advised that a mere declaration in the form set out in Schedule to the Act ibid has the effect of creating a valid charge and can successfully be pressed for recovery under Section 8 and 9 of the aforesaid Act as the provisions of the Registration Act, 1908 are not applicable in this case.  However, there is nothing wrong or illegal in requiring such a document to be registered as this action serve the purpose of notice to General Public and prevent frauds.  Therefore, the proper stamp duty will be leviable in case later course is adopted.

 

            You are requested to ensure that when such a document is presented for registration proper stamp duty should be levied.

 

(Sd/-)

Superintendent,

For Deputy Secretary to Government, Punjab

Revenue Department.

 

 


 

 
GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE

(STAMP  AND  REGISTRATION  BRANCH)

 

To

 

            The Director,

            Institutional Finances and Banking, Punjab,

            Sector 17-D, Chandigarh.

 

            Memo No. 24/40/93-ST-I/3700, Chandigarh, dated the 29th June, 1993.

 

Subject:            Creation of charge on land under the Punjab Agricultural Credit Operations and Miscellaneous Provisions (Banks Act, 1979).

 

Please refer to your letter No. III/13/80/IF/1/2493, dated 25th July, 1989, addressed to the General Manager, Central Bank of India, Zonal Office, Chandigarh, copy enclosed.

 

2.         The matter relating to the creation of charge in terms of provisions of Section 4(i) of the Punjab Agricultural Credit operation and Miscellaneous Provisions (Banks) Act, 1979 by the Agriculturist and its registration under the Registration Act, 1908 by paying proper stamps duty was considered by the Revenue Department, in consultation with the Law Department. The Law Department had advised that a mere declaration in the form set out in schedule to the Act ibid has the effect of creating a valid charge and ca successfully be pressed for recovery under Section 8 and 9 of the afore said Act as the provisions of the Registration Act, 1908 are not applicable in this case. However, there is nothing wrong or illegal in requiring such a document to be registered as this action does serve the purpose of notice to General Public and prevent frauds. Therefore, the proper stamp duty will be leviable in case later course is adopted.

 

The above clarification given by Law Department was conveyed to all the Sub-Registrars (Tehsildars) and Joint Sub-Registrars (Naib-Tehsildars) with a copy to the Commissioners of the Division and Deputy Commissioners (Registrars), copy enclosed. This very clarification was also conveyed to the General Manager, Central Bank of India of India, Zonal Office, Chandigarh,--vide this department letter No. 24/177/ 80-ST I/3217, dated 1st June, 1990.

 

4.         In view of the above clarification, already conveyed to all the concerned quarters a mere declaration by an agriculturist has the effect of creating a valid charge and can successfully be pressed for recovery under Section 8 and 9 of the aforesaid Act, as the provision of the Registration Act, 1908 are not applicable in this case.

 

5.         M/s WIMCO Limited, New Delhi,-- vide their letter dated 6th November, 1992 have intimated that the State Bank of Patiala is insisting on registered mortgage which involves paying of stamp duty by the agriculturist in the State of Punjab, while the same banks are financing farmers without payment of stamp duty in the neighboring state Haryana. As you deal with all the Banks etc. in Punjab State, so you are requested to clarify to them the above provision of law and to impress upon all Banks, in general and the State Bank of Patiala in particular, under intimation to this Department, not to insist on the registration of the document relating to creation of charge by an Agriculturist under the Punjab Agriculture Credit Operation and Misc. Act, 1979.

 

                                                                                    (Sd.)  .  .  .,

                                                            Under-Secretary to Government, Punjab,

                                                            Revenue Department (E).

 

 

No. 24/40/93-ST.I/3701, Chandigarh, dated the 29th June, 1993.

 

A copy is forwarded to all the Registrars (D. Cs) in the State for information and necessary action in continuation of this Department Endorsement No. 24/177/89. ST I/3216, dated 1st June, 1990. They are requisted to impress upon all the Banks in general and State Bank of Patiala in particular, not to insist on the registration of document relating to creation of charge by Agriculturist for raising loan as it entails additional burden of stamp duty and registration fee.

 

                                                                                                (Sd/-)

                                                Under-Secretary to Government, Punjab,

                                                                      Revenue Department (E).

           


 

PART   I

DEPARTMENT OF LEGAL AND LEGISLATIVE AFFAIRS PUNJAB

 
Notification

 

The 23rd June, 1994

 

No.  20-Leg/94.—The following Act of the Legislature of the State of Punjab received the assent of the President of Indian on the 15th June, 1994, and is hereby published for general information :--

 

THE INDIAN STAMP (PUNJAB AMENDMENT) ACT, 1994

 

(Punjab Act No. 17 of 1994)

AN

ACT

 

Further to amend the Indian Stamp Act, 1899, in its application to the State of Punjab.

 

            Be it enacted by the Legislature of the State of Punjab in the Forty-fifth Year of the Republic of India as follows :-

 

1.         Short title and commencement:

 

(1)               This Act may be called the Indian Stamp (Punjab Amendment) Act, 1994.

 

(2)               It shall come into force at once.

 

 

2.         Amendment of section 27 of Central Act 2 of 1899:

 

            In the Indian Stamp Act, 1899 (hereinafter referred to as the principal Act), in its application to the State of Punjab:-

 

(i)                  section 27 of the principal Act shall be re-numbered as sub-section (1) thereof and after sub-section (1) as so-renumbered, the following sub-section shall be inserted, namely :-

 

“(2)      In the case of instruments relating to immovable property chargeable with an ad valorem duty on the value of the property, and not on the value set forth in the instrument, the instrument shall fully and truly set forth, the annual land revenue in the case of revenue paying land, the annual rental or gross assets, if any, in the case of other immovable property, the local rates, municipal or other taxes if any, to which such property may be subject, and any other particulars which may be prescribed by rules made under this Act.”;

 

(ii)                Amendment of section 47-A of Central Act 2 of 1899: in section 47-A for sub-section (3), the following sub-section shall be substituted namely :-

 

“(3)      The Collector may suo moto, or on the receipt of a reference from the Inspector General of Registration or Registrar of a District appointed under the Registration Act, 1908 (Central Act No. 16 of 1908), in whose jurisdiction the property or any portion thereof which is the subject matter of the instrument is situated or on the receipt of a report of audit by the Comptroller and Auditor General of India or by any other authority authorised by the State Government in this behalf or otherwise, within a period of three years from the date of the registration of an instrument, call for and  examine any instrument for the purposes of satisfying himself as to the correctness of the value of the property or of the consideration disclosed and of all other facts and circumstances affecting the chargeability of the instrument or as to the true character and description thereof and the amount of the duty with which it was chargeable and if after such examination, he has reason to believe that proper duty has not been paid he may, after giving the person concerned reasonable opportunity of being heard and after holding an enquiry in the manner provided under sub-section (2), determine the value of the property or the consideration or the character or description of instrument and the duty with which it was chargeable and the deficient amount of duty, if any, would be payable by the persons liable to payable the duty,”; and

 

           

           

GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE

(STAMP  AND  REGISTRATION  BRANCH)

 

To

 

 

(1)               All the Collectors (D. Cs) in the State.

(2)               All the Sub-Registrars (Tehsildars) in the State.

(3)               All the Joint Sub-Registrars (Naib Tehsildar) in the State.

(4)               Inspector General of Registration, Punjab, Kapurthala Road, Jalandhar.

 

Memo No. 2C/89/38-ST.II/5227 Chandigarh, dated the 10th September, 1996.

 

Subject:            C.A. 5337 of  1990, 6213-17/90, 5425/90 etc. C. W. P. No. 5447—49, 16047, 16802/89 etc. State of Punjab versus Mahabir Singh, Chamkaur Singh etc. etc.

 

A copy of orders/Judgment dated 21st November, 1995 of Hon’ble Supreme Court of India in the cases noted as subject and others is sent herewith for information and necessary action.

 

2.         You are requested to comply with the orders/directions etc. of the Hon’ble Supreme Court of India immediately.

 

RAJINDER KAUR

Under Secretary to Government Punjab,

Revenue Department.

 

 

 

IN  THE  SUPREME  COURT  OF  INDIA

CIVIL  APPELLATE  JURISDICTION

 

Civil Appeal Nos. 5337-41  of  1990

 

STATE  OF  PUNJAB  &  OTHERS                                     

                        .......Appellants

 

                                                            Versus

 

MOHABIR  SINGH  ETC.  ETC.                                          

                        .......Respondents

 

                                                            With

 

            C. A. Nos. 6213-17/90, 5425-28/90, 5622-25/90, 6218-22/90, 5615-16/90, 11510, 11509, 11582, 11494, 11501, 11502, 11503, 11504, 11505-07, 11495-500, 11511-16/95, SLP (C) Nos.  14315, 13351-90, 10144/92, 20608/93, 1704/94, 4467/94, 3060, 5643, 19288-90/94, 12728-33 and 12756-61 of 1990.

 

 

ORDER

           

Leave granted in all the Special Leave Petitions.

 

            The facts in C. A. Nos. 5337-41 of 1990 are sufficient for disposal of all these appeals.

 

            The respondents had entered into an agreement of sale on March 4, 1989, to purchase from the vendors, Virinder Singh and Rupinder Singh, a portion of house (Kothi No. 519) situated in Model Town, Jalandhar of an extent of 20 marlas for a consideration valued at Rs.9,700 per Marla and they appear to have paid as earnest money of Rs.95,000. The sale deed was required to be executed and registered before November 30, 1989.  Few days prior to the aforesaid date the instrument appears to have been valued at Rs.50,000 and stamp duty was paid and presented for the same.  The Sub-Registrar Jalandhar, opined that prevailing market value was not less than Rs.15,000 per Marla and, on that basis, he required the vendee to revise the instrument and fix the consideration for the purpose of stamp duty and registration charges on the revised valuation.  He formed his opinion on the basis of the instructions issued by the Government in Ex. PW dated August 04, 1988.  Feeling aggrieved, the respondents filed writ petition in the High Court.  The Division Bench in C. W. P. No. 7360/88 by order dated May 18, 1990 held that the guide lines cannot control the quasi-judicial discretion given to the Registering Authority under Section 47 A(1) of the Indian Stamp Act, 1899 as amended by Punjab Stamp Act, 1982 which came into force with effect from August 04, 1982.  Section 47-A, read thus :-

 

“47-A(1)          Instrument under valued how to be dealt with—if the Registering Officer appointed under the Registration Act, 1908 (Central Act No. 16 of 1908), while registering any instrument relating to the transfer of any property has reason to believe that the value of the property or consideration, as the case may be has not been truly set forth in the instrument, he may, after registering such instrument, prefer the case to the Collection, for determination of the value of the property or the consideration, as the case may be, and the proper duty payable thereon.

 

(3)               On receipt of reference under sub-section (1), the Collector shall after giving the parties reasonable opportunity of being heard and after holding an enquiry in such manner as may be prescribed by rules under this Act, determine the value or consideration and the duty as aforesaid and the deficient amount of duty, if any, shall be payable by the person liable to pay the duty.

 

(4)               The Collector may suo motu, or on receipt of reference from the Inspector General of Registration or the Registrar of a district, appointed under the Registration Act, 1908 (Central Act No. 16 of 1908) in whose jurisdiction the property or any portion thereof which is the subject matter of the instrument is situate, shall, within two years from the date of registration of any instrument, not already referred to him under sub-section (1) call for and examine the instrument for the purpose of satisfying himself as to the correctness of its value or consideration, as the case may be and the duty payable thereon and if after such examination, as the case may be and the duty payable thereon and if after such examination, he has to believe that the value of consideration has not been truly set forth in the instrument, he may determine the value or consideration and the duty as aforesaid in accordance with procedure provided for in sub-section (2) and the deficient amount of duty, if any shall be payable by the person liable to pay the duty.

 

(4)        Any person aggrieved by an order of the Collector under sub-section (2) or sub-section (3) may, within thirty days from the date of that order, prefer an appeal before the District Judge and all such appeals shall be heard and disposal of in such manner as may be prescribed by rules made under this Act.

 

Explanation:   For the purpose of this section, value of any property shall be estimated to be the price which in the opinion of the Collector or the appellate authority, as the case may be such property would have fetched, if sold in the open market on the date of execution of the instrument relating to the transfer of such property.

 

            The relevant portion of the guidelines are :-

 

            “These floor prices will act only as guidelines to the Sub-Registrars and the Sub-Registrar is free to invoke Section 47-A if he is quasi-judicially satisfied that the value of the property in a particular transaction is higher than the prescribed rate and has not been so rate etc. in that document.  In other words these prices are only, the minimum prices prescribed.”

 

            Sub-Section (1) of Section 47-A empowers the Registering Officer while registering any instrument relating to the transfer of any property, if he has reasons to believe that the value of the property or consideration, as the case may be has not been truly set forth in the instrument after registering such instrument, to refer the same to the Collector for determination of the value of the property or the consideration, as the case may be, and the proper duty payable thereon.  It would, therefore, be clear that the Registering Authority has to satisfy himself that value of the property or the consideration for it has not been truly set forth in the instrument.  He may make a reference to the Collector in accordance with the provisions of sub-section (2) of Section 47-A.  Before making reference, he has required to register the document and he is not empowered to withhold the registration.  Such a registration, of course, will be subject to the determination of the true market value prevailing in the locality though the value mentioned in the instrument for such registration under sub-section (1) of Section 47 A was not conclusive.

 

            The guidelines provided by the State would only serve as prima facie material available before the Registering Authority to alert him regarding the value.  It is common knowledge that the value of the property varies from place to place or even from locality to locality in the same place.  No absolute higher or minimum value can be pre-determined.  It would depend on prevailing prices in the locality in which the land covered by the instrument is situated.  It will be only on subjective satisfaction that the Authority has to reach a reasonable belief that the instrument relating to the transfer of property has not been truly set forth or valued or consideration mentioned when it is presented for registration.  The ultimate decision would be with the Collector subject to the decision on an appeal before the District Court as provided under sub-section (4) of Section 47 A.

 

            It would thus be seen that the aforesaid guidelines would inhibit the Registering Authority to exercise his quasi-judicial satisfaction of the true value of the property or consideration reflected in the instrument presented before him for registration.  The statutory language clearly indicates that as and when such an instrument is presented for registration, the sub-Registrar is required to satisfy himself, before registering the document, whether true price is reflected in the instrument as it prevails in the locality.  If he is so satisfied, he registers the document.  If he is not satisfied that the market value or the consideration has been truly set forth in the instrument, subject to his making the consideration has been truly set forth in the instrument, subject to his making reference under Sub-section (1) of Section 47 A, he registers the document.  Thereafter, should make a reference to the collector for action under sub-section (2) and (3) of Section 47 A.  Accordingly, we hold that the offending instructions are not consistent with sub-section (1) of Section 47 A.  It would, therefore, be open to the State Government to revise its guidelines and issue proper directions consistent with law.

 

            The appeals are accordingly disposed of.  No costs.

 

November, 21, 1995

New Delhi:

                                                                                                        Sd./.....

( K.  RAMASWAMY )

Sd./...

                                                                      ( K. S. PARIPOORNAN) 


 

GOVERNMENT  OF  PUNJAB

DEPARTMENT  OF  REVENUE

(STAMP  AND  REGISTRATION  BRANCH )

 

To

 

1.                  All the Sub-Registrars in the State of Punjab,

2.                  All the Joint Sub-Registrars in the State of Punjab.

 

Memo No. 24/16/96-ST.II/7585, Chandigarh, dated the 23rd December, 1996

 

Subject:            Report of the Punjab Finance Commission for Panchayats and Municipalities implementation thereof.

 

It has been intimated by the Department of Finance (Directorate of Financial Resources and Economic Intelligence), Government of Punjab that the Council of Ministers have considered the recommendations contained in the Report of Punjab Finance Commission together with the explanatory Memorandum and approve re-commendations relating to sharing of 20% of the proceeds of the Stamp Duty with Panchayati Raj Institution and Municipalities.  In Order to implement the above decision, you are requested to put Rubber Stamps of Urban Areas or Rural Areas on each of the deeds registered by them for making distinction of Urban Areas and Rural Area.  Further, necessary addition may also be made in the day to day proforma being maintained for showing particulars of the rural areas and urban areas along with proceeds.  I. G. R., Punjab  will circulate Specimen of Proforma in this regard to all the Registering authorities for having information relating to proceeds of Urban Area and Rural Area.  You are requested to supply information at the end of each week to the respective D. C. in Proforma No. 1 and II.  The organization of Rural Development and Panchayat Department and Municipal Committee/Municipal Corporations at District Level will collect information from the office of concerned D. C.s for claiming share of proceeds of stamp duty from the State Competent authority through their Administrative Department.

 

RAJINDER KAUR

Under Secretary, Revenue.

 

            Endorsement No. 24/16/96-ST.II/7586, Chandigarh, dated 23rd  December, 1996

 

            A copy is forwarded to the Inspector General of Registration, Punjab, Kapurthala Road, Jalandhar, it is requested that necessary addition in the day to day proforma in which information relating to documents/deeds registered being prepared may be made and circulated to all the Sub-Registrars/Joint Sub-Registrars for necessary action.

 

RAJINDER KAUR,

Under Secretary, Revenue


 

 

INFORMATION/DATA  RELATING  TO  PROCEEDS  OF  STAMP  DUTY  OF  URBAN  AREA  FOR  THE  WEEK  ENDING:

 

PROFORMA  NO. 1

Sl. No.

Name of Municipal Committee/Corporation

Stamp duty collected (excluding registration fees on account of:

 

Deeds registered in respect of immoveable property i.e. sale deeds, gift deeds, mortgage deeds etc.

1

2

3

 

 

INFORMATION/DATA  RELATING  TO  PROCEEDS  OF  STAMPS  DUTY  OF  RURAL  AREA  FOR  THE  WEEK  ENDING:

 

PROFORMA  NO. 2

Sl. No.

Name of village/Panchayats

Stamp duty collected (excluding registration fees on account of:

 

Deeds registered in respect of immoveable property i.e. sale deeds, gift deeds, mortgage deeds etc.

1

2

3

 

(Table  of  Registration  Fees)