Janaki (Tabu), the only daughter of Seth Durga Prasad Bharadwaj (Amrish Puri) and heir to his millions, elopes with Jayaprakash Paswan (Kamal Haasan), a dance choreographer's assistant. After a few years, following petty differences, Janki sues Jai for divorce. Janaki is awarded the custody of their only child, Bharthi (Baby Sana), thus Jai gets to meet his daughter for one supervised visit per week. Angered and lonely, Jai is ill advised by his friend Siraj-un-din (Nasar) to kidnap Bharthi. Jai is caught in the act of kidnapping and loses his visitation rights. Jai is desperate to be with his child when he sees an advertisement by Durga Prasad seeking a Brahmin ayah for Bharthi. Jai seeks the help of a make-up artist (Johny Walker), who transforms him into a woman. Various forms of lies & manipulations gets him the job. Now posing as Mrs. Lakshmi Godbole, Jai is very happy to be with his daughter. The care and concern he shows towards the child earns him the admiration of Durga Prasad and envy of other servants, especially Bhanwari Lall Pandit (Om Puri), Durga Prasad's secretary. Durga Prasad has a sudden heart attack, and Lakshmi manages to get him to the hospital in time. Durga Prasad and Janki feel highly obliged to Lakshmi chachi. Durga Prasad's gratitude slowly turns to love and he proposes marriage to Lakshmi. In a terrible fix, Lakshmi invents a runaway husband. To further complicate matters, Jai's landlord, Hari Bhai (Paresh Rawal), also falls in love with Chachi. Janaki, influenced by Chachi realises that all her differences with Jai were flimsy & childish and she still loves him. As she reaches out to her husband, she realises that Jai was Chachi all along. They both conspire to keep it a secret and spare Durga Prasad the embarrasment of defeat.