JUDGMENT : 1. Heard Sri Suresh Chandra Varma, learned Counsel for the petitioner and learned Standing Counsel for the State-respondents. 2. The petitioner has approached this Court praying for quashing of the judgment and order dated 13.11.1998 passed by the Additional District Magistrate (Finance and Revenue), Mathura, in case No. 223 of 1998-99 and judgment and order dated 24.11.2003 passed Additional Commissioner (Administration), Agra Division, Agra, in Revision No. 36 of 2003 in proceeding under Section 47-A of Indian Stamp Act. 3. Petitioner's case is that she purchased for an amount of Rs.78,000/-one room area 86.6 sq. ft. or 8.04 sq. meter out of big building situated in Gali Thatheran, City and District Mathura, vide sale deed dated 25.10.1996. The entire lane, where the building is situated, is a residential area, out of which, one room for residential purpose was purchased by the petitioner. 4. It appears that Sub Registrar, Mathura, on presentation of the sale deed for registration, referred it to the Collector, stating that the property is undervalued and it is being purchased for commercial purpose. On the basis of the aforesaid report of Sub Registrar, Mathura, a show cause notice was issued to the petitioner. She filed her objection to the show cause notice stating that she has purchased one room only for residential purpose and has paid the stamp duty as per circle rate fixed by the Collector and there is no deficiency in stamp duty. The Collector called for a report from Tehsildar and the case was sent to the Additional District Magistrate (Finance and Revenue), Mathura, for decision. 5. Tehsildar submitted his report dated 16.9.1997 stating that the property in dispute is residential and was being used for residential purpose and is an old property. The Additional District Magistrate (Finance and Revenue), Mathura, respondent No.2, found that petitioner has purchased a room of area 8.04 Sq. Meter, but has not filed any evidence to prove that it has been purchased for residential purpose. The Additional District Magistrate (Finance and Revenue), Mathura, respondent No.2, found that petitioner has purchased a room of area 8.04 Sq. Meter, but has not filed any evidence to prove that it has been purchased for residential purpose. The property has been purchased for commercial purpose and therefore, stamp duty is payable on the commercial rate of the locality and on the basis of the aforesaid report, the value of the property comes to Rs.2,27,325/-whereon stamp duty of Rs.32,987.50/-was payable, but the petitioner has paid only Rs.11,310/-and therefore, the remaining stamp duty alongwith registration fee of Rs.3500/-, total amount of Rs.25,177.50/-, is due against the petitioner and she is directed to deposit the same within one month. Failing which, the recovery of arrears of land revenue shall be made. 6. Aggrieved by the order dated 13.11.1998 of the Additional District Magistrate (Finance and Revenue), Mathura, respondent No.2, petitioner preferred Stamp Revision No. 36 of 2003 before the Additional Commissioner (Administration), Agra Division, Agra, who confirmed the order of Additional Collector, by dismissing the revision by the order dated 24.11.2003. 7. Learned counsel for the petitioner has submitted that the order passed by both the authorities are incorrect and not in accordance with law. The manner of determination of the valuation of the property is provided under Rule 4 and 5 of the U.P. Stamp (Valuation of Property) Rules, 1997, which have been framed in exercise of powers conferred under Sections 27, 47-A and 75 of Indian Stamp Act. The manner of determination of the valuation of the property is provided under Rule 4 and 5 of the U.P. Stamp (Valuation of Property) Rules, 1997, which have been framed in exercise of powers conferred under Sections 27, 47-A and 75 of Indian Stamp Act. Rule 4 deals with the fixation of minimum rate of valuation of land, Constructions value of non-commercial of For ready reference, Rule 4 of 1997 Rules is quoted below; "4-Fixation of minimum rate for valuation of land, construction value of non-commercial building and minimum rate of rent of commercial building.-(1) The Collector of the district shall yearly, as for as possible, in the month of August, fix the minimum value per hectare/per square metre of agricultural/non-agricultural land, the minimum value per square metre of construction of non-commercial building and the minimum monthly rent per square metre of commercial building, situated in different parts, taking into consideration the following facts;- (a) in case of agricultural land- (i) classification of soil; (ii) availability of irrigation facility, (iii) proximity to road, market, bus station, railway station factories, educational institutions, hospitals and government offices; (iv) location with reference to its situation in urban area, semi-urban or countryside; and (v) potentiality as distance from developed area. (b) in case of non-commercial building- (i) location of building; and (ii) kind of construction and value of building. (c) in case of commercial building- (i) nature of economic activity in the locality; and (ii) prevailing rent in the locality, and kind of commercial building. (2) The Collector of the district may, suo motu or on an application made to him in this behalf, on being satisfied about the incorrectness of the minimum value of land or of the construction of non-commercial building or the minimum rent of a commercial building fixed by him under sub-rule (1), for reasons recorded in writing, revise the same within a period of one year from the dated of fixation of minimum value or rent as the case may be. Explanation.-(1) The revision in rates of immoveable property does not only mean to increase the rates but to reduce the rates fixed more than the rates prevailing in such locality. (2) The kind of commercial building means economic activities in it. Explanation.-(1) The revision in rates of immoveable property does not only mean to increase the rates but to reduce the rates fixed more than the rates prevailing in such locality. (2) The kind of commercial building means economic activities in it. (3) The direction issued by Government/Commissioner of Stamps shall have the same effect as if it were issued under these rules.] (3) The Collector of the district shall after fixing the minimum value per acre/per square mete of land, and of the construction of non-commercial building and the minimum rent per square metre of commercial building under sub-rule (1), send a statement in three parts to the Registrar. The first part of such statement shall contain the division of each sub district of the district under his jurisdiction into urban area, semi-urban area and the countryside, the second part shall specify the minimum value of land situated in different parts of the sub-district and the third part shall contain, in the case of the non-commercial building, the minimum value of construction and in the case of commercial building the minimum rent fixed under sub-rule (1). (4) The Registrar shall supply copies of statement mentioned in sub-rule (3) to the Sub-Registrars under his control and shall also forward a copy of the same to the Inspector General of Registration, Uttar Pradesh. (5) Every Registering Officer shall cause a copy of the above statement to be affixed on the notice board outside the registration office." 8. Rule 5, on the other hand, deals with calculation of minimum value of land, grove, garden and building. "5. (5) Every Registering Officer shall cause a copy of the above statement to be affixed on the notice board outside the registration office." 8. Rule 5, on the other hand, deals with calculation of minimum value of land, grove, garden and building. "5. Calculation of minimum value of land, grove, garden and building.-For the purposes of payment of stamp duty, the minimum value of immovable property forming the subject of an instrument shall be deemed to be such as may be arrived at as follows: (a) In case of land Minimum value Whether agricultural or non agricultural Area of land multiplied by minimum value fixed by Collector of the district under rule 4 (b) In case of grove or garden (i) if assessed to revenue Minimum value of the land as worked out in the manner laid down in Clause (a) plus the value of the trees standing thereon worked out on the basis of the average price of the trees of the same nature, size and age prevailing in the locality on the date of the instrument; (ii) if not assessed to revenue or is exempted from it and is rented Twenty times the annual rent plus the premium, if any, plus the value of trees standing thereon determined in accordance with sub-clause (i); (iii) if not assessed to revenue or is exempted from it and is rented. Twenty times the annual rent plus the premium, if any, plus the value of trees standing thereon determined in accordance with sub-clause (i); (iiv) if not assessed to revenue or is exempted from it and profit has arisen during three years immediately preceding the date of the instrument Twenty times the average annual profit plus the value of the trees standing thereon determined in accordance with sub-clause (i); (c) In case of buildings­ (i) Non-commercial building Minimum value of land whether covered by the construction or not, which is subject matter of the instrument as worked out under clause (a) plus the value of construction of building arrived at by multiplying the const­ructed area of each floor of the building by the minimum value fixed by the Collector of the district under rule 4. (ii) Commercial building Three hundred times the minimum monthly rent of the building, which is the subject matter of instrument, calculated by multiplying the const­ructed area of each floor of the building with the minimum rent fixed by the Collector of the district under Rule 4. 9. U.P. Stamp (Valuation of Property) Rules, 1997 has been amended from time to time and the last amendment has been made by means of Uttar Pradesh Stamp (Valuation of Property) (Third Amendment) Rules, 2015, wherein following amendment had been made in Rule 4 and 5 and same are as follows; "Amendment of Rule 4.--In the said rules in Rule 4 for sub-rules (1), (2) and (3) the following sub-rules shall be substituted, namely— "4. (1) The Collector of the district shall yearly, as far as possible in the month of August, fix the minimum value per hectare/per square of agriculture/non-agriculture land, the minimum value per square metre of construction of non commercial building and single unit shops and commercial establishments and the minimum value of carpet area per square metre for shops and commercial establishment situated in building, other than single unit commercial buildings, situated in different parts of the district taking into consideration the following facts: (a) in case of agriculture land-- (i) Classification of soil; (ii) availability of irrigation facility; (iii) proximity to road, market, bus station, railway station, factories, educational institutions, hospitals and Government offices; and (iv) location with reference to its situation in urban area, semi-urban area or country-side; (v) potentiality of distance from developed area; (b) In case of non-commercial building-- (i) location of building; (ii) kind of constructions and value of building; (c) In case of commercial building: (i) location of building; (ii) nature of economic activity in the locality; (iii) nature of commercial building; and (iv) floor wise location of property. (2) -The Collector of the district may, suo motu or on an application made to him in this behalf, on being satisfied about the incorrectness of the minimum value of land or per square metre rate of construction of noncommercial or single unit shops and commercial establishments and the minimum value of carpet area per square metre in case of shops and commercial establishments situated in buildings other than single unit commercial buildings fixed by him under sub-rule (I), for reasons to be recorded in writing, revise the same within a period of one year from the date of fixation of minimum value, as the case may be. Explanation:-(1) The revision in the rates of immoveable property does not only mean to increase the rates but also to reduce the rates if fixed more than the rates prevailing in such locality. (2) The nature of commercial building means economic activities in it. (3)The direction issued by Government/Commissioner of stamps shall have the same effect as if it were issued under these rules. (4) Single unit shop and commercial establishment shall denote such commercial building where land and total construction situated upon such land is being transferred by a single transaction. (5) Shops and commercial establishments situated in commercial buildings other than single unit commercial building shall denote such commercial property where a part of construction on a land is being transferred along with proportionate land and common area. (5) Shops and commercial establishments situated in commercial buildings other than single unit commercial building shall denote such commercial property where a part of construction on a land is being transferred along with proportionate land and common area. (3)-The Collector of the district shall after fixing the minimum value per hectare/per square metre of agriculture/ non agriculture land and the minimum rate of construction per square metre of non commercial buildings and single unit shops and commercial establishments and per square metre rate of carpet area of shops and commercial establishments situated in buildings other than single unit commercial building under sub-rule(I) send a statement in three parts to the Registrar, the first part of such statement shall contain the division of district under his jurisdiction, into urban area, semi urban area and the country side, second part shall specify the minimum value of land situated in different parts of the sub-district and the third part shall contain, in the case of non commercial building and single unit shops and commercial establishments situated in commercial buildings, the minimum value of construction and in case of shop and commercial establishment situated in the building other than single unit commercial building the minimum rate of carpet area per square metre." 4. Amendment of rule 5.--In the said rules, in rule 5 for sub-clause(ii) of clause (c) set out in Column-I below the sub-clause as set out in Column-II shall be substituted, namely,-- "5-Commercial Building:-(i) In case of single unit shop and commercial establishment, value shall be determined by adding minimum value of land whether covered by construction or not, and the value of the constructed area of each floor of the building calculated on the basis of rate fixed by the Collector under rule-4. (ii) In case of shop and commercial establishments situated in buildings, other than single unit commercial building, value shall be determined by multiplying the minimum rate of carpet area fixed by the Collector under rule-4 with the actual carpet area of the shop and commercial establishment." 10. (ii) In case of shop and commercial establishments situated in buildings, other than single unit commercial building, value shall be determined by multiplying the minimum rate of carpet area fixed by the Collector under rule-4 with the actual carpet area of the shop and commercial establishment." 10. Sufficient guidelines are provided in the rules itself as for example in the case of agricultural land at the point of time when fixation of minimum rate is to be done, classification of soil, availability of irrigation facility, proximity to road, market, bus station, railway station, factories, educational institutions, hospitals and government offices alongwith location with reference to its situation in urban area, semi-urban or countryside, potentiality as distance from developed area are relevant factors. Similarly, in the case of non-commercial building, location of building, kind of construction and value of building and in case of commercial building, nature of economic activity in the locality and prevailing rent in the locality, and kind of commercial building are relevant. Not only this, the Collector under Sub-rule 2 of Rule 4 of 1997 Rules, conferred with the authority either suo motu or on an application made to him in that behalf to correct in case incorrect fixation has been made of the minimum value of the land or of the construction of noncommercial building or the minimum rent of a commercial building fixed by him and he has also been conferred with the authority to revise the same within a period of one year from the date of fixation of minimum value or rent as the case may be. All these provisions would clearly go to show that the authority, that has been conferred upon the District Magistrate/Collector is not to be exercised at his whims or fancies, rather there are relevant considerations that has to be kept in mind by the Collector at the point of time when he proceeds to make fixation of minimum rate for valuation of land, construction value of non-commercial building and minimum rate of rent of commercial building. 11. It is clear that once the document in question is under valued, then under Section 47-A, reference is to be made. Under Rule 7 a full fledged mechanism has been provided for, as to how on receipt of reference, the matter is to be dealt with. Rule 7 is as follows; "Rule 7. 11. It is clear that once the document in question is under valued, then under Section 47-A, reference is to be made. Under Rule 7 a full fledged mechanism has been provided for, as to how on receipt of reference, the matter is to be dealt with. Rule 7 is as follows; "Rule 7. Procedure on receipt of a reference or when suo motu action is proposed under Section 47-A.--(1) On receipt of a reference or where action is proposed to be taken suo motu under Section 47-A, the Collector shall issue notice to parties to the instrument to show cause within thirty days of the receipt of such notice as to why the market value of the property set forth in the instrument and the duty payable thereon be not determined by him. (2) The Collector may admit oral or documentary evidence, if any, produced by the parties to the instrument and call for and examine the original instrument to satisfy himself as to the correctness of the market value of the subject-matter of the instrument and for determining the duty payable thereon. (3) The Collector may: (a) call for any information or record from any public office, officer or authority under the government or local authority; (b) examine and record the statement of any public officer or authority under the Government or local authority; (c) inspect the property after due notice to the parties to the instrument. (4) After considering the representation of the parties, if any, and examining the records and other evidence, the Collector shall determine the market value of the subject matter of the instrument and the duty payable thereon. (5) If, as a result of such inquiry, the market value is found to be fully and truly set forth and the instrument duly stamped according to such value, it shall be returned to the person who made the reference with a certificate to that effect. A copy of such certificate shall also be sent to the Registering officer concerned (6) If as a result of such inquiry, the market value is found to be undervalued and not duly stamped, necessary action shall be taken in respect of it according to relevant provisions of the Act." 12. A copy of such certificate shall also be sent to the Registering officer concerned (6) If as a result of such inquiry, the market value is found to be undervalued and not duly stamped, necessary action shall be taken in respect of it according to relevant provisions of the Act." 12. The Collector is to issue notice to parties to the instrument to show cause within 30 days of the receipt of such notice as to why the market value of property set-forth in the instrument and the duty payable thereon be not determined by him. The Collector is also entitled to admit oral or documentary evidence, if any, produced by the parties to the instrument and call for and examine the original instrument to satisfy himself as to the correctness of the market value of the subject matter of the instrument and for determining the duty payable thereon. The Collector is entitled to call for any information or record from any public office, officer or authority under the Government or a local authority and examine and record the statement of any public officer or authority under the Government or the local authority and also inspect the property after due notice to parties to the instrument. Even after considering the representation of the parties, if any, and examining the records and other evidence, the Collector shall determine the market value of the subject-matter of the instrument and the duty payable thereon. If, as a result of such enquiry, the market value is found to be fully and truly set forth and the instrument duly stamped according to such value, it has to be returned to the person, who made the reference with a certificate to that effect. A copy of such certificate shall also be sent to the Registering Officer concerned. If, as a result of inquiry, the instrument is found to be undervalued and not duly stamped, necessary action has to be taken in respect of it according to relevant provisions of the Act. 13. A copy of such certificate shall also be sent to the Registering Officer concerned. If, as a result of inquiry, the instrument is found to be undervalued and not duly stamped, necessary action has to be taken in respect of it according to relevant provisions of the Act. 13. After consideration of the above Rule 4 and 5 of the U.P. Stamp (Valuation of Property) Rules, 1997 and the procedure provided under Section 47-A of Indian Stamp Act, this Court finds that in the present case, Collector did not made any effort to find out the correct market value of the property and only on the report of the Sub Registrar that the property appears to be under-valued and is commercial, the deficiency in stamp duty was determined against the petitioner and she has been saddled with the liability of paying deficiency in the Registration fee also. 14. The entire exercise of respondent No.2 was illegal. The procedure for valuation and determination of market value of commercial property given in Rule 4 and 5 of 1997 Rules, has not been followed. Consequently, the order of the authorities challenged in this writ petition are found to be illegal and hereby quashed. 15. The disputed sale deed was executed in 1996 and now it would not be possible, after 23 years, to get the correct market value of the property determined by the respondent no. 3, therefore the matter is not being remanded. The respondent nos. 2 and 3 should thank themselves for their faults of violating the law. 16. By way of interim order dated 03.2.2004, this Court directed to the petitioner to deposit half of the amount of deficiency in the stamp duty as imposed by the respondent No.2. In case the aforesaid amount is deposited by the petitioner it shall be refunded to her along with interest at the rate of 1.5% per month by Commissioner, Agra Division, Agra/Collector, Mathura, from the date of deposit, within a period of three months from today. In case the aforesaid amount is deposited by the petitioner it shall be refunded to her along with interest at the rate of 1.5% per month by Commissioner, Agra Division, Agra/Collector, Mathura, from the date of deposit, within a period of three months from today. The rate of interest is the same as provided under Section 47-A of the Indian Stamp Act, 1999 payable by a person, who is found at fault in proceedings under Section 47-A of the Act aforesaid, keeping in view Article 14 of the Constitution of India, which provides equal protection of law to State authorities and also the common man, there cannot be two rate of interests, one for depositing the amount and the other for refund of the amount. In case the amount is not deposited within three months, a cost of Rs.25,000/-shall also be payable to the petitioner by the Collector Stamp, Azamgarh,. The State Government shall be free to recover the same from the respondent No.2, Collector, Azamgarh. 17. This writ petition stands allowed.