THE BOMBAY STAMP ACT, 1958 - Igrmaharashtra.gov.in

to values of property especially in metropolitan areas. A further dimension to be noted is addedby operation of the new Rent Act where by certain properties/premises are exempted by virtue ofSection 3 of the Maharashtra Rent Control Act, 1999. It is these exempted categories of premisesthat rents can be fixed oa higher denomination which may have no bearing to standard rentconcepts envisaged in rent laws. Such exempted premises thus fetches high rents enhancing thereteable value of the property as may be chargeable by local authorities. Links with cut off datesmay not strictly apply and in that sense the change in provisions of law may make holding ofproperty well nigh difficult especially in metropolis.CHAPTER IPRELIMINARY1. Short tile, extent and commencement(1) This Act may be called the Bombay Stamp Act. 1958(2) It Extends to the whole of the 1 [Stamp of Maharashtra].(3) It shall come into force on such date as the state Governmentmay. By notification in the Official Gazette, direct.Principles for the Application of the Act :1. For charging stamp duty, the instrument is not to be treated by the name itbears but by the substance or real nature of the transaction recorded therein.2. The stamp duty is imposed upon the instrument and not upon the transaction.3. The instruments or documents have to be read as they are i.e. as they areworded or drafted.4. Nothing illegal to adopt a method in effecting a transaction so as to reduce orlessen the liability of stamp duty.5. The Act is a fiscal measure enacted to secure revenue for the state fromcertain classes of instruments.6. A document which is not stamped, though required to be stamped or isunderstamped, is not by that reason, invalid as between the parties.[See C. C. R.A. v. Maharashtra Sugar M