Whether the property which was subject of a gift deed should be considered to be an 'industrial' property or a 'commercial' property for the purposes of computing the duty under the Rajasthan Stamp Act, 1998?

Industrial. The Collector conducted a physical inspection and found a manufacturing activity going on; the manufactured items definitely had to be sold, and if the premises is used for such sale too, even retail sale, it cannot lead to a conclusion that the property is one used for commercial purposes, as distinguished from an industrial purpose. The registration as a factory and as an industry also assumes significance.

Rajasthan Stamp Act, 1998 — Factories Act, 1948 — Gift deed — Stamp duty — Valuation — Industrial user distinguished from commercial user — Rajasthan Stamp Act, 1998 — Valuation of land — User, not classification — Held: The user to which the land is put determines valuation; sale of the manufactured items, even retail sale, does not make the premises commercial as distinguished from industrial. (¶7, 8) Rajasthan Stamp Act, 1998 — Circular No.2/2004 — Test stipulated by the High Court — Held further: The test that the land be situated in the industrial area and the work performed be exclusively of manufacturing does not come out from the circular. Appeal allowed. (¶9, 10)

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