Stamp Duty Exemption on Affidavits: Bombay HC Directs Implementation

Bhushan Ishwar Mahajan Vs State of Maharashtra and others (Bombay High Court)

In the case of Bhushan Ishwar Mahajan Vs. State of Maharashtra and others, the Bombay High Court heard a public interest litigation (PIL) concerning the implementation of a 2004 notification by the Maharashtra State Government, which remitted stamp duty on affidavits for various purposes. The petitioner sought several reliefs, including a writ of mandamus to ensure that government departments and officials comply with the notification and stop insisting on affidavits being executed on stamp paper. The petitioner contended that despite the notification, several government offices continued to demand affidavits on Rs. 100 or Rs. 500 stamp papers, in violation of the exemption granted under Section 9 of the Maharashtra Stamp Act, 1958.

The State Government, in its defense, cited the circulars and steps taken to implement the remission, including wide publicity through posters and media coverage. However, the court found that despite these efforts, government departments were still insisting on stamp duty for affidavits, which continued to burden the citizens. The court emphasized the need for further steps, such as workshops and increased awareness, to ensure the proper enforcement of the notification. The court also noted instances where the State Election Commission’s order, which mirrored the remission of stamp duty for affidavits, was not being followed during elections. Ultimately, the court disposed of the PIL with a direction to the Maharashtra government to ensure the full implementation of the 2004 notification, providing relief to the public and preventing unnecessary charges.