D PRAVEEN Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) THE petitioner and his sisters have one-third share each in property bearing No.5-3-138, Goshamahal Baradari, Hyderabad through succession. The manner in which the property has accrued to them is stated in detail in the affidavit filed in support of this writ petition. Two sisters of the petitioner, by name Smt. J. Chandrakantha and Smt. M. Kiran, intended to release their share in favour of the petitioner and accordingly executed a deed of release on 16.10.2008. The document was presented for registration before the Office of the District Registrar, Red Hills, respondent No.2 herein. Respondent No.2 issued a notice, dated 19.11.2008, requiring the petitioner to pay deficit stamp duty, registration charges and transfer of property tax of Rs.1,20,185.00 by treating the document as a deed of conveyance through sale. The petitioner feels aggrieved by the same.

(2.) THE petitioner states that the transaction that has taken place through the document in question is the one of release of the joint ownership of one co-owner in favour of another co-owner, and that no element of sale is involved. He contends that mere payment of consideration for such release, does not amount to sale.

(3.) SRI Mehdi Hussain, learned Counsel for the petitioner, submits that both the parties to the document are co-owners and the mere fact that some of the co- owners get themselves released from the rights and obligations vis-a-vis the property, does not bring about transaction of sale. He contends that it is only when a person holding absolute title vis-a-vis an item of immovable property executes a deed of transfer, for consideration in favour of another person who has no prior interest in the property, that a transaction of sale comes into existence. Learned Counsel submits that till partition is affected, each co-owner of the property holds rights, in respect of every part of it and the question of one co-owner purchasing it from another co-owner, does not arise.