The Bombay High Court has directed the state government to refund Rs 3 lakh in stamp duty to a homebuyer who inadvertently paid the amount under an incorrect stamp duty head. The petitioner, represented by advocate Charanjeet Singh Chandrapal, had purchased electronic stamps in March 2018 for registering a flat purchase agreement. However, due to an inadvertent error, he selected the wrong option instead of "Non-Judicial Stamps." When he sought a refund, his application was rejected by the Collector of Stamps, Borivli, on grounds of a delay of two months and eight days beyond the six-month statutory period.
Legal Battle and Court Observation
Both the Collector and the Chief Controller of Revenue Authority upheld the denial, prompting Singh to approach the high court. Justice Jadhav, hearing the case, remarked that it was a "procedural technicality defeating legitimate entitlement." The court held that Singh's payment error was purely inadvertent, the stamps had never been used, and the delay—partly due to documented health issues—could not justify the state retaining the money.
Key Ruling
"The Government cannot unjustly enrich itself by forfeiting the stamp duty amount deposited under a wrong head," Justice Jadhav observed. The judge added that a citizen "cannot be penalized for an inadvertent mistake" that results in financial loss to the state without lawful authority. The court directed the state to refund the full amount within a specified period.
V.S. Nimbalkar, Assistant Government Pleader, represented the State, while Amol Ghayal, Supervisor at the Collector of Stamps, Borivali, was present during the proceedings. The ruling underscores the judiciary's stance against bureaucratic rigidity that denies citizens their rightful dues on technical grounds.
