Supreme Court Exempts Wife from Stamp Duty on Flat Received in Compromised Divorce Settlement

In a significant ruling, the Supreme Court of India dissolved the marriage of Arun Rameshchand Arya and Parul Singh by mutual consent under Article 142 of the Constitution. The court also ruled that the ownership of a disputed flat will be transferred to the wife without the payment of stamp duty.

Background of the Case

Arun Rameshchand Arya, the petitioner-husband, had filed Transfer Petition (Civil) No. 875 of 2024, seeking the transfer of Divorce Petition No. A/2335 of 2023 from the Family Court in Bandra, Mumbai, to the Family Court in Karkardooma, Shahdara, Delhi. However, during the proceedings, both parties opted for mediation and agreed to dissolve their marriage amicably.

Key Legal Issues

The primary issues before the court were:

1. Whether the marriage could be dissolved by mutual consent under Article 142 of the Constitution.
2. The ownership of Flat No. 601, 6th Floor, Panorama, Green Hills Co-operative Housing Society Ltd., Godrej Hill, Kalyan (West), Maharashtra, which was jointly owned by the parties.
3. Whether the respondent-wife could receive exclusive ownership of the flat without paying stamp duty, as per Section 17(2)(vi) of the Registration Act, 1908.

Supreme Court’s Ruling

A bench comprising Justice Vikram Nath and Justice Sandeep Mehta ruled in favor of granting mutual divorce and directed the transfer of the flat to the respondent-wife, Parul Singh.

In a crucial observation, the court cited the judgment in Mukesh v. The State of Madhya Pradesh & Anr. (2024 SCC OnLine 3832), stating:

“Exemption from payment of registration fees pursuant to a decree or order of the Court is provided under Section 17(2)(vi) of the Registration Act, 1908. Since the flat in question was part of the proceedings before this Court, the respondent-wife is exempt from paying stamp duty for its registration in her name.”

Final Decision

1. The Supreme Court directed that absolute ownership of the flat shall vest in Parul Singh without any encumbrances.
2. Arun Rameshchand Arya waived all claims over the flat.
3. The respondent-wife agreed to a mutual divorce without claiming alimony.
4. The Sub-Registrar concerned was directed to register the flat in her exclusive name.

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