Stamp Duty Refund Limitation Period
Refund of Stamp Duty has to be claimed within 6 months (limitation period). The Sub-Registrars, on receipt of such an application, can verify the scroll P.C.R. etc., and once satisfied that the challan and receipt are genuine and haven’t been utilized, can issue the certificate to that effect.
The party desiring a refund of Stamp Duty must apply to the concerned District Collector / Sub-Collector / Deputy Collector / R.D.O / Tehsildar under section 2(9) of the Indian Stamp Act through the Sub-Registrar, duly mentioning the explanations for seeking the refund along with the original challan and receipt issued by the designated Bank branch.
Based on the certificate issued by the Sub Registrar (S.R.), the amount will be refunded after deducting 10% of the total Stamp Duty amount.
Stamp Duty is refunded after deducting 10% of the total amount of Duty Paid. However, for refunds of payments made through e-payment, the deduction is Rs. 1000 per challan
Stamp Duty Refund Limitation Period
The validity period for claiming stamp refund is 6 months from the date of purchase of the stamps. This is subject to fulfilling the conditions in Chapter V of the Bombay Stamp Act, 1958 under sections 48, 49, 50, 51, 52, 52A, and 52B.
Basis for Claiming Stamp Duty Refund
- As per court order
- Stamp duty paid twice on the same document
- Cancellation of agreement with the builder or vendor
- Excess stamp duty or penalty paid
- Unused or spoiled stamp papers
- Paid online stamp duty to incorrect departments or heads
- Wrong type of stamp paper used (judicial vs non-judicial)
Basis for Claiming Stamp Duty Refund
The Maharashtra state government has amended section 48 of the Bombay Stamp Act, 1958, allowing flat buyers to get stamp duty refunded up to two years after agreement cancellation with the builder. Earlier, this period was six months.
Agreement Cancelled – Seller Refuses Possession
In such cases, an application for refund can be made within 2 years from the date of execution, provided the sale agreement is cancelled through a registered cancellation deed. This enables relief under section 48 of the Bombay Stamp Act, 1958.
How to Apply for Refund of Stamp Duty?
The Maharashtra Government now allows online submission of Stamp Duty refund applications.
- Collector of Stamps processes the case.
- Applicant can track status online.
- Applicant can download acknowledgement.
- Physical submission of documents is still required.
The online application form can be filled anytime. After submission, print two copies of the acknowledgement and submit them with physical documents to the concerned office on the same day.
Required Documents for Refund
- Original instrument with one Xerox copy
- Original stamp receipt
- Affidavit (prescribed format)
- Jabab
- Certificate from Collector of Stamps validating stamps
- Reconciliation Certificate or Success Report
- NOC from stamp purchaser(s) if purchased on behalf of another (optional)
- NOC from co-purchasers if only one applies (optional)
- True copy of stamp sale register
- Certificate of stamp sale
- Power of Attorney (if applicable)
- True copy of deposited challan in Treasury
