Sections 96 and 97: Tax Exemption, Stamp Duty and Certified Copy as Evidence

Sections 96 and 97 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 deal respectively with exemption from income tax, stamp duty and copy fees, and with acceptance of certified copies of registered documents as evidence in proceedings under the Act.

Section 96 - Exemption from Income Tax, Stamp Duty and Fees

Meaning and Effect of Section 96

Section 96 creates a statutory exemption in respect of an award or agreement made under the 2013 Act. Its text covers income tax, stamp duty and the fee for obtaining a copy by a person claiming under the award or agreement. The express exception is an agreement under Section 46.

Section 46 Exception

Section 46 deals with rehabilitation and resettlement requirements where a person other than a specified person purchases land through private negotiations beyond the limits notified by the appropriate Government, or where a private company purchases land through private negotiations for a public purpose, subject to the terms of that section. Because Section 96 expressly says "except under section 46", the exemption must be read together with that statutory exception.

Income Tax Treatment

The exemption in Section 96 is stated in direct statutory terms for awards or agreements made under the Act, subject to the Section 46 exception. For a particular payment or transaction, the character of the payment, the statutory source of acquisition and any applicable tax provision should be checked before relying on the exemption.

Stamp Duty and Copy Fee

The same provision states that stamp duty shall not be levied on an award or agreement covered by Section 96, subject to the stated exception, and that a person claiming under such award or agreement is not liable to pay a fee for a copy of it.

Section 97 - Acceptance of Certified Copy as Evidence

Meaning and Effect of Section 97

Section 97 is an evidentiary provision for proceedings under the 2013 Act. It permits a certified copy of a document registered under the Registration Act, 1908, including a copy given under Section 57 of that Act, to be accepted as evidence of the transaction recorded in the document.

Registration Act, 1908

The Registration Act, 1908 is the central legislation governing registration of documents. Section 57 deals with inspection of certain registration records and the grant of copies in the circumstances specified by that provision. Section 97 of the 2013 Act expressly recognises a copy given under Section 57 for the evidentiary purpose stated in Section 97.

Why Sections 96 and 97 Matter

• Section 96: provides the statutory tax, stamp-duty and copy-fee treatment of awards and agreements covered by its terms.
• Section 46: is expressly carved out from the Section 96 exemption and should be checked where the transaction falls within that provision.
• Section 97: facilitates proof of a transaction through a certified copy of a registered document in proceedings under the 2013 Act.
• Registration Act Section 57: is specifically referenced by Section 97 in relation to certified copies.

Official Legal Resources

The RFCTLARR Act, 2013 and its Central rules are administered by the Department of Land Resources. Current official materials can be checked on the Department of Land Resources - Acts, Rules and Policies page and through the India Code portal. The Department also publishes the RFCTLARR Compensation, Rehabilitation and Resettlement and Development Plan Rules, 2015.