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Yogesh Mohan Gupta v. Chief Controlling Revenue Authority,Board Of Revenue & Ors - WRIT - C No. 1710 of 1999  RD-AH 6919 (16 April 2007)
Civil Misc. Writ Petition No.1710 of 1999
Yogesh Mohan Gupta Versus Chief Controlling Revenue Authority, Board of Revenue, U.P Allahabd and others.
Hon'ble S.U.Khan J
Heard learned counsel for the parties.
This writ petition is directed against order dated 12.3.1993 passed in Valuation Case No. 20 of 1986 State Versus Yash Mohan. The said order was passed by A.D.M (Supplies) Meerut. Against the said order petitioner filed revision being Stamp Revision No. 534 of 1993-94. Chief Controlling Revenue Authority (CCRA) / Board of Revenue dismissed the revision on 23.9.1998. Said order has also been challenged through this writ petition.
The proceedings were initiated against the petitioner under section 47-A of the Stamp Act as added by U.P. Petitioner purchased half portion of a house for Rs.38000/-. The petitioner contended that the house in dispute was in occupation of a tenant and its rental value was not more than Rs.200/- per month and litigation was going on with the tenant. A.D.M held that house in dispute could be let out for Rs.500/- per month. Multiplying the said monthly presumptive rent by 25 years, A.D.M held that total valuation would be Rs.1,50,000/- requiring stamp duty of Rs.15750/- while on the sale deed stamp duty of Rs.4000/- had been paid. In this manner Rs.11750/- was determined as deficiency in stamp duty and Rs.8250/- as penalty. At the time when sale deed was executed and first order was passed there was no provision of penalty under Section 47-A of the Act, hence penalty part is set-aside.
I have held in Ram Khelawan Vs. State 2005 (98) RD 511 that the rules framed for determining market value under the Stamp Act and circle rates circulated under said rules are relevant for only initiation of proceedings under section 47-A of Stamp Act. However, after initiation of the case the said rules become irrelevant and while deciding the case market value shall be determined on the basis of general principles for determining market value which are applicable to the land acquisition matters.
For determining the market value, one of the standard methods is to multiply the monthly or yearly income by suitable multiplier. In this regard normally multiplier of 10, 12 or 15 years is applied. Applying 25 years multiplier upon the rent on which property may be let out is not the correct formula for determining the market value. No useful purpose will be served by remanding the matter as learned counsel for the petitioner states that petitioner will feel satisfied if apart from Rs.5875/- deposited by the petitioner in pursuance of the interim order passed by this court, he is not required to pay anything more.
Accordingly, writ petition is allowed. Impugned orders are modified and it is directed that petitioner shall not be liable to pay anything more towards deficiency in Stamp duty and penalty in respect of the sale deed in question except the amount of Rs.5875/- which has already been paid by the petitioner under interim order passed in this writ petition .
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