Circular No. 48794/E3/2017, Final Orders Under Section 47A(1)

What it governs

Circular Number 48794/E3/2017 dated 6 November 2017 applies to specified documents, including sale deeds, that are presented for registration at a value below the guideline value. The Head of the Tamil Nadu Registration Department instructed registration officers, District Revenue Officers (Stamps) and Special Deputy Collectors (Stamps) to complete market value proceedings without delay.

The circular follows a Madras High Court decision dismissing cases that sought release of documents undergoing action under Section 47A(1) of the Indian Stamp Act, 1899. The decision stated that the original document need not be returned to the document holder while valuation is pending and that the original must be sent to the valuation authority.

Who is affected

Circular Number 48794/E3/2017 affects people whose documents are referred for market value determination because the declared value is considered low. It also places procedural duties on Sub Registrars, registration officers, District Revenue Officers (Stamps) and Special Deputy Collectors (Stamps).

Key deadlines and procedure

The Tamil Nadu Registration Department prescribed the following process:

• The registration officer must send the original document for market value determination within 30 days from the date it was presented.
• The District Revenue Officer (Stamps) or Special Deputy Collector (Stamps) must send the Form I notice by registered post within two weeks from receiving the document.
• The document holder has 21 days to submit objections or a response to the Form I notice.
• If objections are received, the authority must consider them, conduct an inquiry and appropriate site inspection, and issue a provisional order in Form II. The document holder must be given an opportunity to pay the stamp duty.
• If no response is received within 21 days, the authority must send the required notice, inspect the property, record the inspection, make public inquiries and issue a provisional order in Form II based on the available documents.
• Market value proceedings must be completed and a final order issued within three months from the date of the Form I notice.
• The final order must be served on the document holder by registered post.

Appeal and recovery

A final order issued by the District Revenue Officer (Stamps) or Special Deputy Collector (Stamps) must state that an appeal may be filed within two months from the date of that order. If the document holder does not appeal within that period, officials are instructed to begin revenue recovery action immediately under Section 48 of the Indian Stamp Act, 1899.

Officials who fail to follow these instructions may face disciplinary action.