Bombay HC: Final Conveyance Cannot Attract Fresh Stamp Duty When It Completes Earlier Property Transaction
Mumbai, August 23, 2026: The Bombay High Court has held that stamp duty cannot be levied afresh on the final conveyance when it is only the concluding step in a property transaction covered by earlier agreements. Justice Amit Borkar, on August 20, set aside a Rs 2.60 crore stamp duty demand against Pune-based Kumar Housing Corporation Private Limited, along with the penalty and other charges,…
The Bombay High Court has ruled that stamp duty cannot be levied again on final conveyance when it is merely the concluding step in a property transaction that was already covered by earlier agreements. In the case of Kumar Housing Corporation Private Limited in Pune, the court dismissed a demand for Rs 2.60 crore in additional stamp duty, stating that the final conveyance should be viewed as part of a single continuous transaction.
The court examined the transaction as a whole, considering the contents of the documents, the rights created, the nature of possession, and the legal effect of the documents, relying on Section 4 of the Maharashtra Stamp Act.
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