1

2
 THE INDIAN STAMP ACT, 1899

ARRANGEMENT OF SECTIONS

CHAPTER I
PRELIMINARY
SECTION

1. Short title, extent and commencement.

2. Definitions.
CHAPTER II
STAMP DUTIES
A. —Of the liability of instruments to duty
3. Instruments chargeable with duty.
3A. [Repealed.].
4. Several instruments used in single transaction of sale, mortgage or settlement.
5. Instruments relating to several distinct matters.
6. Instruments coming within several descriptions in Schedule I.
7. Policies of sea-insurance.
8. Bonds, debentures or other securities issued on loans under Act XI of 1879.
8A. Securities dealt in depository not liable to stamp duty.
8B. Corporatisation and demutualisation schemes and related instruments not liable to
duty. 8C. Negotiable warehouse receipts not liable to stamp duty.
8D. Agreement or document for assignment of receivables not liable to stamp duty.
8E. Conversion of a branch of any bank into a wholly owned subsidiary of bank or
transfer of shareholding of a bank to a holding company of bank not liable to duty.
8F. Agreement or document for transfer or assignment of rights or interest in financial
assets not liable to stamp duty.
9. Power to reduce, remit or compound duties.
B.—Of stamps and the mode of using them
10. Duties how to be paid.
11. Use of adhesive stamps.
12. Cancellation of adhesive stamps.
13. Instruments stamped with impressed stamps how to be written.
14. Only one instrument to be on same stamps.
15. Instrument written contrary to section 13 or 14 deemed unstamped.
16. Denoting duty.
C. —Of the time of stamping instruments
17. Instrument executed in India.
18. Instruments other than bills and notes executed out of India.
19. Bills and notes drawn out of India.
D. —Of valuations for duty
20. Conversion of amount expressed in foreign currencies.
21. Stock and marketable securities how to be valued.
22. Effect of statement of rate of exchange or average price.
23. Instruments reserving interest.
23A. Certain instruments connected with mortgages of marketable securities to be
chargeable as agreements.
3
SECTIONS
24. How transfer in consideration of debt, or subject to future payment, etc., to be charged.
25. Valuation in case of annuity, etc.
26. Stamp where value of subject-matter is indeterminate.
27. Facts affecting duty to be set forth in instrument.
28. Direction as to duty in case of certain conveyances.

E. —Duty by whom payable

29. Duties by whom payable.
30. Obligation to give receipt in certain cases.
CHAPTER III
ADJUDICATION AS TO STAMPS
31. Adjudication as to proper stamp.
32. Certificate by Collector.
CHAPTER IV
INSTRUMENTS NOT DULY
STAMPED
33. Examination and impounding of instruments.
34. Special provision as to unstamped receipts.
35. Instruments not duly stamped inadmissible in evidence, etc.
36. Admission of instrument where not to be questioned.
37. Admission of improperly stamped instruments.
38. Instruments impounded how dealt with.
39. Collector's power to refund penalty paid under section 38, sub-section (1).
40. Collector's power to stamp instruments impounded.
41. Instruments unduly stamped by accident.
42. Endorsement of instruments on which duty has been paid under sections 35, 40 or 41.
43. Prosecution for offence against Stamp-law.
44. Persons paying duty or penalty may recover same in certain cases.
45. Power to Revenue-authority to refund penalty or excess duty in certain cases.
46. Non-liability for loss of instruments sent under section 38.
47. Power of payer to stamp bills, and promissory notes received by him unstamped.
48. Recovery of duties and penalties.
CHAPTER V
ALLOWANCES FOR STAMPS IN CERTAIN CASES
49. Allowance for spoiled stamps.
50. Application for relief under section 49 when to be made.
51. Allowance in case of printed forms no longer required by Corporations.
52. Allowance for misused stamps.
53. Allowance for spoiled or misused stamps how to be made.
54. Allowance for stamps not required for use.
54A. Allowances for stamps in denominations of
annas. 54B. Allowances for Refugee Relief stamps.
55. Allowance on renewal of certain debentures.
CHAPTER VI
REFERENCE AND REVISION
56. Control of, and statement of case to, Chief Controlling Revenue-authority.

4
SECTIONS
57. Statement of case by Chief Controlling Revenue-authority to High Court.
58. Power of High Court to call for further particulars as to case stated.
59. Procedure in disposing of case stated.
60. Statement of case by other Courts to High Court.
61. Revision of certain decisions of Courts regarding the sufficiency of stamps.
CHAPTER VII
CRIMINAL OFFENCES AND
PROCEDURE

62. Penalty for executing, etc., instrument not duly stamped.

63. Penalty for failure to cancel adhesive stamp.
64. Penalty for omission to comply with provisions of section 27.
65. Penalty for refusal to give receipt, and for devices to evade duty on receipts.
66. Penalty for not making out policy or making one not duly stamped.
67. Penalty for not drawing full number of bills or marine policies purporting to be in sets.
68. Penalty for post-dating bills, and for other devices to defraud the revenue.
69. Penalty for breach of rule relating to sale of stamps and for unauthorised sale.
70. Institution and conduct of prosecutions.
71. Jurisdiction of Magistrates.
72. Place of trial.
CHAPTER VIII
SUPPLEMENTAL
PROVISIONS

73. Books, etc., to be open to inspection.

74. Powers to make rules relating to sale of stamps.
75. Powers to make rules generally to carry out Act.
76. Publication of rules.
76A. Delegation of certain powers.
77. Saving as to court-fees.
77A. Saving as to certain stamps.
78. Act to be translated, and sold cheaply.
79. [Repealed.].
SCHEDULE I.––Stamp-duty on instruments.
SCHEDULE II. –– [Repealed.].

5
 THE INDIAN STAMP
ACT, 1899 ACT NO. 2 OF
18991
[27th January, 1899]

An Act to
Consolidate
and amend the
law relating to
Stamps.
WHEREAS it is expedient to consolidate and amend the law relating to Stamps. It is hereby
enacted as follows:—

CHAPTER I
PRELIMINARY

1. Short title, extent and commencement — (1) This Act may be called the Indian Stamp Act, 1899.
2 [(2) It extends to the whole of India except the State of Jammu and Kashmir:
Provided that it shall not apply to 3 [the territories which, immediately before the 1st November,
1956, were comprised in Part B States] (excluding the State of Jammu and Kashmir) except to the
extent to which the provisions of this Act relate to rates of stamp-duty in respect of the documents
specified in Entry 91 of List I in the Seventh Schedule to the Constitution].
(3) It shall come into force on the first day of July, 1899.
2. Definitions. — In this Act, unless there is something repugnant in the subject or context, —
(1) “Banker”. —“banker” includes a bank and any person acting as a banker;
(2) “Bill of exchange”. — “bill of exchange” means a bill of exchange as defined by the Negotiable
Instruments Act, 1881, (26 of 1881), and includes also a hundi, and any other document entitling or
purporting to entitle any person, whether named therein or not, to payment by any other person of, or to
draw upon any other person for, any sum of money;
(3) “Bill of exchange payable on demand”. —“bill of exchange payable on demand” includes—

1 . For Report of the Select Committee, see Gazette of India, 1898. Pt. -V, p. 231: and for Proceedings in Council,
see 1898, Pt. VI, pp. 10 and 278; and Gazette of India, 1899, Pt. VI, p 5.
This Act has been partially extended to Berar Laws Act, 1941 (4 of 1941) and has been declared to be in force in
the Sonthal Parganas by the Sonthal Parganas Settlement Regulation (3 of 1872), s. 3, as amended by Reg. 3 of 1899,
s. 3; in the Angul District by the Angul Laws Regulation, 1936 (5 of 1936), s. 3 and Sch; and in Panth Piploda by the
Panth Piploda Laws Regulation, 1929 (1 of 1929), s. 2.
Under s. 3(a) of the Scheduled Districts Act, 1874 (14 of 1874) the Act has been declared to be in force
in the Scheduled Districts of Ganjam, Vizagapatam and East Godavary, see Notification No. 121, dated 25th
April, 1927, Fort St. George Gazette, 1927, Pt. I, p. 684. It has also been extended under ss. 5 and 5A of the
same Act, with certain modifications. to the districts of the Khasi and Jaintia Hills, the Garo Hills, the Lushai
Hills and the Naga Hills and the North Kachar sub-division of the Kachar district, the Mikir Hill Tracts in the
Sibsagar and Nowgong districts and the Lakhimpur Frontier Tract, see Notification No. 1541.- F(a), dated 10th
6
April; 1930. Assam Gazette 1930. Pt. ii, p. 700.
Extended to Dadra and Nagar Haveli by Reg. 6 of 1963, s. 2 and Sch. 1: to Goa, Daman and Diu by Reg. 11 of
1963, s. 3 and to Laccadive, Minicoy and Amindivi Islands by Reg. 8 of 1965, s. 3 and Schedule.
2 . Subs. by Act 43 of 1955, s. 3, for sub-section (2) (w.e.f. 1-4-1956).
3 . Subs. by the A.O. (No. 2) 1956, for “Part B States”.

7
 (a) an order for the payment of any sum of money by a bill of exchange or promissory note, or for
the delivery of any bill of exchange or promissory note in satisfaction of any sum of money, or for the
payment of any sum of money out of any particular fund which may or may not be available, or upon
any condition or contingency which may or may not be performed or happen;

(b) an order for the payment of any sum of money weekly, monthly, or at any other stated period;
and
(c) a letter of credit, that is to say, any instrument by which one person authorizes another to give
credit to the person in whose favour it is drawn:

(4) “Bill of lading”. — “bill of lading” includes a “through bill lading”, but does not include a mate's
receipt:

(5) “Bond”. — “bond” includes—

(a) any instrument whereby a person obliges himself to pay money to another, on condition that
the obligation shall be void if a specified act is performed, or is not performed, as the case may be;

(b) any instrument attested by a witness and not payable to order or bearer, whereby a person
obliges himself to pay money to another; and

(c) any instrument so attested, whereby a person obliges himself to deliver grain or other
agricultural produce to another:

(6) “Chargeable”. — “chargeable” means, as applied to an instrument executed or first executed after
the commencement of this Act, chargeable under this Act, and, as applied to any other instrument,
chargeable under the law in force in 1 [India] when such instrument was executed or, where several persons
executed the instrument at different times, first executed:

(7) “Cheque”. — “cheque” means a bill of exchange drawn on a specified banker and not expressed
to be payable otherwise than on demand:
2* * * * * *
(9) “Collector” . — “Collector” —

(a) means, within the limits of the towns of Calcutta, Madras and Bombay, the Collector of
Calcutta, Madras and Bombay, respectively, and, without those limits, the Collector of a district, and

(b) includes a Deputy Commissioner and any officer whom 3 [the 4 [State Government]] may, by
notification in the Official Gazette, appoint in this behalf:

(10) “Conveyance”. — “conveyance” includes a conveyance on sale every instrument by which

property, whether moveable or immovable, is transferred inter vivos and which is not otherwise specifically
provided for by schedule I:

(11) “Duly stamped”. — “duly stamped”, as applied to an instrument, means that the instrument bears
an adhesive or impressed stamp of not less than the proper amount and that such stamp has been affixed or
used in accordance with the law for the time being in force in 1 [India]:

(12) “Executed” and “execution”. — “executed” and “execution” used with reference to instruments,
mean “signed” and “signature”:

1 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).

2 . Clause (8) omitted by the A.O. 1937.
3 . Subs. by the A.O. 1937, for “the L.G.”.
4 . Subs. by the A.O. 1950, for “collecting Government”.

8
 1* * * * * *
(13) “Impressed stamp”. — “impressed stamp” includes—
(a) labels affixed and impressed by the proper officer, and
(b) stamps embossed or engraved on stamped paper:
“India”. — “India” means the territory of India excluding the State of Jammu and
2 [(13A)

Kashmir:]
(14) “Instrument”.— “instrument” includes every document by which any right or liability is, or
purports to be, created, transferred, limited, extended, extinguished or recorded:
(15) “Instrument of partition”.— “instrument of partition” means any instrument where by co-
owners of any property divide or agree to divide such property in severalty, and includes also a final order
for effecting a partition passed by any Revenue-authority or any Civil Court and an award by an arbitrator
directing a partition:
(16) “Lease”. — “lease” means a lease of immovable property, and includes also—
(a) a patta;
(b) a kabuliyat or other undertaking in writing, not being a counterpart of a lease, to cultivate,
occupy, or pay or deliver rent for, immovable property;
(c) any instrument by which tolls of any description are let;
(d) any writing on an application for a lease intended to signify that the application is granted;
3 [(16A)“Marketable security”. — “marketable security” means a security of such a
description as to be capable of being sold in any stock market in 4 [India] or in the United
Kingdom:]
(17) “Mortgage-deed”. — “mortgage-deed” includes every instrument whereby, for the purpose of
securing money advanced, or to be advanced, by way of loan, or an existing or future debt, or the
performance of an engagement, one person transfers, or creates, to, or in favour of, another, a right over or
in respect of specified property:
(18) “Paper”. — “paper” includes vellum, parchment or any other material on which an instrument
may be written:
(19) “Policy of insurance”. — “policy of insurance” includes—
(a) any instrument by which one person, in consideration of a premium, engages to indemnify
another against loss, damage or liability arising from an unknown or contingent event;
(b) a life-policy, and any policy insuring any person against accident or sickness, and any other
personal insurance; 5 ***
6* * * * *
2 [(19A)“Policy of group insurance”. — “policy of group insurance” means any instrument
covering not less than fifty or such smaller number as the Central Government may
approve, either generally or with reference to any particular case, by which an insurer, in
consideration of a premium paid by an employer or by an employer and his employees
jointly, engages to cover, with or without medical examination and for the sole
benefit of persons other than the employer, the lives of all the employees or of
any class of them, determined

1 . Clause (12A) omitted by the A.O. 1950. Earlier ins. by the A.O. 1937.
2 . Ins. by Act 43 of 1955, s. 4 (w.e.f. 1-4-1956).
3 . Ins. by Act 15 of 1904, s. 2.
9
4 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).
5 . The word “and” omitted by Act 5 of 1906, s. 2.
6 . Clause (c) omitted by s. 2, ibid.

10
by conditions pertaining to the employment, for amounts of insurance based upon a plan which
precludes individual selection :]

(20) “Policy of sea-insurance” or “sea-policy”. — “Policy of sea-insurance” or “sea-policy”—

(a) means any insurance made upon any ship or vessel (whether for marine or inland navigation),
or upon the machinery, tackle or furniture of any ship or vessel, or upon any goods, merchandise or
property of any description whatever on board of any ship or vessel, or upon the freight of, or any other
interest which may be lawfully insured in, or relating to, any ship or vessel, and

(b) includes any insurance of goods, merchandise or property for any transit which includes, not
only a sea risk within the meaning of clause (a), but also any other risk incidental to the transit insured
from the commencement of the transit to the ultimate destination covered by the insurance:

Where any person, in consideration of any sum of money paid or to be paid for additional
freight or otherwise, agrees to take upon himself any risk attending goods, merchandise or
property of any description whatever while on board of any ship or vessel, or engages to
indemnify the owner of any such goods, merchandise or property from any risk, loss or
damage, such agreement or engagement shall be deemed to be a contract for sea-insurance:

(21) “Power-of-attorney”.— “power-of-attorney” includes any instrument (not chargeable with a fee
under the law relating to Court-fees for the time being in force) empowering a specified person to act for
and in the name of the person executing it:

(22) “Promissory note”.— “promissory note” means a promissory note as defined by the Negotiable
Instruments Act, 1881 (XXVI of 1881):

It also includes a note promising the payment of any sum of money out of any particular fund
which may or may not be available, or upon any condition or contingency which may or may not
be performed or happen:

(23) “Receipt”. — “receipt” includes any note, memorandum or writing—

(a) whereby any money, or any bill of exchange, cheque or promissory note is acknowledged to
have been received, or

(b) whereby any other moveable property is acknowledged to have been received in satisfaction of
a debt, or

(c) where by any debt or demand, or any part of debt or demand, is acknowledged to have been
satisfied or discharged, or

(d) which signifies or imports any such acknowledgment,

and whether the same is or is not signed with the name of any person; 1 ***

(24) “Settlement”. — “settlement” means any non-testamentary disposition, in writing, of moveable

or immovable property made—

(a) in consideration of marriage,

(b) for the purpose of distributing property of the settler among his family or those for whom he
desires to provide, or for the purpose of providing for some person dependent on him, or

(c) for any religious or charitable purpose:

1 . The word “and” omitted by Act 18 of 1928, s. 2 and the First Sch.

11
 and includes an agreement in writing to make such a disposition 1 [and, where any such
disposition has not been made in writing, any instrument recording, whether by way of declaration
trust or otherwise, the terms of any such disposition]; 2 ***
3 [(25)“Soldier”. — “soldier” includes any person below the rank of non-commissioned
officer who is enrolled under the 4 Indian Army Act, 1911 (8 of 1911).]
“Stamp”. — “stamp” means any mark, seal or endorsement by any agency or person
5 [(26)

duly authorised by the State Government, and includes an adhesive or impressed stamp, for the
purposes of duty chargeable under this Act.]

12
13
 CHAPTER II
STAMP DUTIES
A. —Of the liability of instruments to duty

3. Instruments chargeable with duty. —Subject to the provisions of this Act and the exemptions
contained in Schedule I, the following instruments shall be chargeable with duty of the amount indicated in
that Schedule as the proper duty therefore respectively, that is to say —
(a) every instrument mentioned in that Schedule which, not having been previously executed by
any person, is executed in 6 [India] on or after the first day of July, 1899;
(b) every bill of exchange 7 [payable otherwise than on demand] 8 *** or promissory note drawn or
made out of 6 [India] on or after that day and accepted or paid, or presented for acceptance or payment,
or endorsed, transferred or otherwise negotiated, in 6 [India]; and
(c) every instrument (other than a bill of exchange, 8 ***or promissory note) mentioned in that
Schedule, which, not having been previously executed by any person, is executed out of 6 [India] on or
after that day, relates to any property situate, or to any matter or thing done or to be done, in
6 [India] and is received in 6 [India]:
Provided that no duty shall be chargeable in respect of—
(1) any instrument executed by, or on behalf of, or in favour of, the Government in cases where,
but for this exemption, the Government would be liable to pay the duty chargeable in respect of such
instrument;
(2) any instrument for the sale, transfer or other disposition, either absolutely or by way of
mortgage or otherwise, of any ship or vessel, or any part, interest, share or property of or in any ship or
vessel registered under the Merchant Shipping Act 1894, Act No. 57 & 58 Vict. c. 60 or under Act
XIX of 1838 Act No. or the Indian Registration of Ships Act, 1841, (CX of 1841) as amended by
subsequent Acts.
3A. [Instruments chargeable with additional duty.] Omitted by the Refugee Relief Taxes (Abolition)
Act, 1973 (13 of 1973), s. 2 (w.e.f. 1-4-1973).
4. Several instruments used in single transaction of sale, mortgage or settlement. — (1) Where,
in the case of any sale, mortgage or settlement, several instruments are employed for completing the
transaction, the principal instrument only shall be chargeable with the duty prescribed in Schedule I, for the
conveyance, mortgage or settlement, and each of the other instruments shall be chargeable with a duty of
one rupee instead of the duty (if any) prescribed for it in that Schedule.

1 . Ins. by Act 15 of 1904, s. 2.

2 . The word “and” omitted by the A.O. 1950. Earlier ins. by Act 18 of 1928, s. 2 and the First Sch.
3 . Added by Act 1928 of 18, s. 2 and the First Sch.,
4 . See. Now the Army Act 1950 (46 of 1950).
5 . Ins. by Act 23 of 2004, s. 117.
6 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).
7 . Ins. by Act 5 of 1927, s. 5.
8 . The word “cheque” omitted by s. 5, ibid.

14
 (2) The parties may determine for themselves which of the instrument so employed shall, for
the purposes of sub-section (1), be deemed to be the principal instrument:

Provided that the duty chargeable on the instrument so determined shall be the highest duty
which would be chargeable in respect of any of the said instruments employed.

5. Instruments relating to several distinct matters. — Any instrument comprising or relating to

several distinct matters shall be chargeable with the aggregate amount of the duties with which separate
instruments, each comprising or relating to one of such matters, would be chargeable under this Act.

6. Instruments coming within several descriptions in Schedule I. — Subject to the provisions of the
last preceding section, an instrument so framed as to come within two or more of the descriptions in
Schedule I, shall, where the duties chargeable thereunder are different, be chargeable only with the highest
of such duties:

Provided that nothing in this Act contained shall render chargeable with duty exceeding one
rupee a counterpart or duplicate of any instrument chargeable with duty and in respect of which
the proper duty has been paid.

7. Policies of sea-insurance. —1 * * * * *

(4) Where any sea-insurance is made for or upon a voyage and also for time, or to extend to or
cover any time beyond thirty days after the ship shall have arrived at her destination and been there
moored at anchor, the policy shall be charged with duty as a policy for or upon a voyage, and also
with duty as a policy for time.

8. Bonds, debentures or other securities issued on loans under Act XI of 1879. —

(1) Notwithstanding anything in this Act, any local authority raising a loan under the provisions of the
Local Authorities Loan Act, 1879 (XI of 1879) or, of any other law for the time being in force, by the issue
of bonds, debentures or other securities, shall, in respect of such loan, be chargeable with a duty of 2[one
per centum] on the total amount of the bonds, debentures or other securities issued by it, and such bonds,
debentures or other securities need not be stamped and shall not be chargeable with an y further duty on
renewal, consolidation, sub-division or otherwise.

(2) The provisions of sub-section (1) exempting certain bonds, debentures or other securities from
being stamped and from being chargeable with certain further duty shall apply to the bonds, debentures or
other securities of all outstanding loans of the kind mentioned therein, and all such bonds, debentures or
other securities shall be valid, whether the same are stamped or not:

Provided that nothing herein contained shall exempt the local authority which has issued such
bonds, debentures or other securities from the duty chargeable in respect thereof prior to the
twenty-sixth day of March, 1897, when such duty has not already been paid or remitted by order
issued by the Central Government.

(3) In the case of willful neglect to pay the duty required by this section, the local authority shall be
liable to forfeit to the Government a sum equal to ten per centum upon the amount of duty payable, and a
like penalty for every month after the first month during which the neglect continues.

1 . Sub-sections (1), (2) and (3) rep. by Act 11 of 1963, s. 92 (w.e.f. 1-8-1963).
2 . Subs. by Act 6 of 1910, s. 2 for “eight annas per centum”.
15
 1
[8A. Securities dealt in depository not liable to stamp duty. — Notwithstanding anything contained
in this Act or any other law for the time being in force, —
(a) an issuer, by the issue of securities to one or more depositories, shall, in respect of such issue,
be chargeable with duty on the total amount of security issued by it and such securities need not be
stamped;
(b) where an issuer issues certificate of security under sub -section (3) of section 14 of the
Depositories Act, 1996 (22 of 1996), on such certificate duty shall be payable as is payable on the issue
of duplicate certificate under this Act;
(c) the transfer of—
(i) registered ownership of securities from a person to a depository or from a depository to a
beneficial owner;
(ii) beneficial ownership of securities, dealt with by a depository;
(iii) beneficial ownership of units, such units being units of a Mutual Fund including units of
the Unit Trust of India established under sub-section (1) of section 3 of the Unit Trust of India Act,
1963 (52 of 1963), dealt with by a depository,
shall not be liable to duty under this Act or any other law for the time being in force.
Explanation 1.—For the purposes of this section, the expressions “beneficial ownership”,
“depository” and “issuer” shall have the meanings respectively assigned to them in clauses (a), (e)
and (f) of sub-section (1) of section 2 of the Depositories Act, 1996 (22 of 1996).
Explanation 2.—For the purposes of this section, the expression “securities” shall have the
meaning assigned to it in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956
(42 of 1956). ]
2
[8B. Corporatisation and demutualisation schemes and related instruments not liable to
duty. —Notwithstanding anything contained in this Act or any other law for the time being in force, —
(a) a scheme for corporatisation or demutualisation, or both of a recognised stock exchange; or
(b) any instrument, including an instrument of, or relating to, transfer of any property, business,
asset whether movable or immovable, contract, right, liability and obligation, for the purpose of, or in
connection with, the corporatisation or demutualisation, or both of a recognised stock exchange
pursuant to a scheme,
as approved by the Securities and Exchange Board of India under sub-section (2) of section 4B of
the Securities Contracts (Regulation) Act, 1956 (42 of 1956), shall not be liable to duty under this
Act or any other law for the time being in force.
Explanation. —For the purposes of this section, —
(a) the expressions “corporatisation”, “demutualisation” and “scheme” shall have the meanings
respectively assigned to them in clauses (aa), (ab) and (ga) of section 2 of the Securities Contracts
(Regulation) Act, 1956 (42 of 1956);
(b) “Securities and Exchange Board of India” means the Securities and Exchange Board of India
established under section 3 of the Securities and Exchange Board of India Act, 1992 (15 of 1992).]
3
[8C. Negotiable warehouse receipts not liable to stamp duty .— Notwithstanding anything
contained in this Act, negotiable warehouse receipts shall not be liable to stamp duty.]
4 [8D.Agreement or document for assignment of receivables not liable to stamp duty. —
Notwithstanding anything contained in this Act or any other law for the time being in force, any
agreement or other document for assignment of “receivables” as defined in clause (p) of section 2
of the Factoring Regulation Act, 2011 in favour of any “factor” as defined in clause (i) of section
2 of the said Act shall not be liable to duty under this Act or any other law for the time being in
force.]

1 . Subs. by Act 10 of 2000, s. 118 (w.e.f. 12-5-2000). Earlier ins. by Act 22 of 1996, s. 30 and The Schedule (w.e.f. 20-9-1995).
2 . Ins. by Act 18 of 2005, s.114 (w.e.f. 13-5-2005).
16
3 . Ins by Act 37 of 2007, s. 55 (w.e.f. 25-10-2010).
4 . Ins. by Act 12 of 2012, s. 35 and the Schedule (w.e.f. 1-2-2012).

17
 1
[8E. Conversion of a branch of any bank into a wholly owned subsidiary of bank or transfer of
shareholding of a bank to a holding company of bank not liable to duty. — Notwithstanding anything
contained in this Act or any other law for the time being in force, —
(a) conversion of a branch of a bank into a wholly owned subsidiary of the bank or transfer of
shareholding of a bank to a holding company of the bank in terms of the scheme or guidelines of the
Reserve Bank of India shall not be liable to duty under this Act or any other law for the time being in
force; or
(b) any instrument, including an instrument of, or relating to, transfer of any property, business,
asset whether movable or immovable, contract, right, liability and obligation, for the purpose of, or in
connection with, the conversion of a branch of a bank into a wholly owned subsidiary of the bank or
transfer of shareholding of a bank to a holding company of the bank in terms of the scheme or guidelines
issued by the Reserve Bank of India in this behalf, shall not be liable to duty under this Act or any other
law for the time being in force.
Explanation. —
(i) For the purposes of this section, the expression “bank” means—
(a) “a banking company” as defined in clause (c) of section 5 of the Banking Regulation Act,
1949 (10 of 1949);
(b) “a corresponding new bank” as defined in clause (da) of section 5 of the Banking
Regulation Act, 1949 (10 of 1949);
(c) “State Bank of India” constituted under section 3 of the State Bank of India Act, 1955 (23
of 1955);
(d) “a subsidiary bank” as defined in clause (A) of section 2 of the State Bank of India
(Subsidiary Banks) Act, 1959 (38 of 1959);
(e) “a Regional Rural Bank” established under section 3 of the Regional Rural Banks Act,
1976 (21 of 1976);
(f) “a Co-operative Bank” as defined in clause (cci) of section 5 of the Banking Regulation
Act, 1949 (10 of 1949);
(g) “a multi-State co-operative bank” as defined in clause (cciiia) of section 5 of the Banking
Regulation Act, 1949 (10 of 1949);
(ii) For the purposes of this section, the expression the “Reserve Bank of India” means the Reserve
Bank of India constituted under section 3 of the Reserve Bank of India Act, 1934 (2 of 1934).]
2
[8F. Agreement or document for transfer or assignment of rights or interest in financial assets
not liable to stamp duty.— Notwithstanding anything contained in this Act or any other law for
the time being in force, any agreement or other document for transfer or assignment of rights or
interest in financial assets of banks or financial institutions under section 5 of the Securitisation
and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, in favour
of any asset reconstruction company, as defined in clause (ba) of sub-section (1) of section 2 of
that Act, shall not be liable to duty under this Act.]
9. Power to reduce, remit or compound duties. — 3 [(1)] 4 [The 5 ***Government] may, by rule or
order published in the Official Gazette, —
(a) reduce or remit, whether prospectively or retrospectively, in the whole or any part of 6 [the
territories under its administration], the duties with which any instruments or any particular class of
instruments, or any of the instruments belonging to such class, or any instruments when executed by or
in favour of any particular class of persons, or by or in favour of any members of such class, are
chargeable, and

1 . Ins. by Act 4 of 2013, s. 17 and the Schedule (w.e.f. 17-1-2013).

2 . Ins. by Act 44 of 2016, s. 43 and the First Schedule (w.e.f. 1-9-2016).
3 . S. 9 re-numbered as sub-section (1) of that section by the A.O. 1950.
4 . Subs. by the A.O. 1937, for “the G.G. in C”.
5 . The word “collecting” omitted by the A.O. 1950.
6 . Subs. by the A.O. 1937, for “British India”.

18
 (b) provide for the composition or consolidation of duties 1 [of policies of insurance and] in the case
of issues by any incorporated company or other body corporate 2 [or of transfers (where there is a single
transferee, whether incorporated or not)] of debentures, bond or other marketable securities.
3 [(2) In this section the expression “the Government” means, —
(a) in relation to stamp-duty in respect of bills of exchange, cheques, promissory notes, bills of
lading, letters of credit, policies of insurance, transfer of shares, debentures, proxies and receipts, and
in relation to any other stamp-duty chargeable under this Act and falling within entry 96 in List I in the
4
[Seventh Schedule to the Constitution, expect the subject matters referred to in clause (b) of sub-
section (1)]; the Central Government;
(b) Save as aforesaid, the State Government.]
B. —Of Stamps and the mode of using them
10. Duties how to be paid. — (1) Except as otherwise expressly provided in this Act, all duties with
which any instruments are chargeable shall be paid, and such payment shall be indicated on such
instruments, by means of stamps —
(a) according to the provisions herein contained; or
(b) when no such provision is applicable thereto-as the 5 [State Government] may be rule direct.
(2) The rules made under sub-section (1) may, among other matters, regulate, —
(a) in the case of each kind of instrument-the description of stamps which may be used;
(b) in the case of instruments stamped with impressed stamps-the number of stamps which may
be used;
(c) in the case of bills of exchange or promissory notes 6 *** the size of the paper on which they
are written.
11. Use of adhesive stamps. — The following instruments may be stamped with adhesive stamps,
namely: —
(a) instruments chargeable 7 [with a duty not exceeding ten naye paise], except parts of bills of
exchange payable otherwise than on demand and drawn in sets;
(b) bills of exchange, 8 *** and promissory notes drawn or made out of 9 [India];
(c) entry as an advocate, vakil or attorney on the roll of a High Court;
(d) notarial acts; and
(e) transfers by endorsement of shares in any incorporated company or other body corporate.
12. Cancellation of adhesive stamps — (1) (a) Whoever affixes any adhesive stamp to any instrument
chargeable with duty which has been executed by any person shall, when affixing such stamp, cancel the
same so that it cannot be used again; and
(b) whoever executes any instrument on any paper bearing an adhesive stamp shall, at the time
of execution, unless such stamp has been already cancelled in manner aforesaid, cancel the same
so that it cannot be used again.
(2) Any instrument bearing an adhesive stamp which has not been cancelled so that it cannot be used
again, shall, so far as such stamp is concerned, be deemed to be unstamped.
(3) The person required by sub-section (1) to cancel an adhesive stamp may cancel it by writing on or
across the stamp his name or initials or the name or initials of his firm with the true date of his so writing,
or in any other effectual manner.

1 . Ins. by Act 23 of 2004, s. 117.

2 . Ins. by Act 32 of 1994, s. 99 (w.e.f. 13-9-1994).
3 . Added by the A.O. 1950.
4 . Subs by Act 21 of 2006 s. 69, for “Seventh Schedule to the Constitution”. (w.e.f. 18-4-2006)
5 . Subs. by the A.O. 1950, for “collecting Government”.
6 . The words “written in any oriental language” omitted by Act 43 of 1955 s. 5 (w.e.f. 1-4-1956).
7 . Subs. by Act 19 of 1958, s. 2, for “with the duty of one anna or half an anna” (w.e.f. 1-10-1958).
8 . The word “cheques” omitted by Act 5 of 1927, s. 5.
9 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).

19
 13. Instruments stamped with impressed stamps how to be written. — Every instrument written
upon paper stamped with an impressed stamp shall be written in such manner that the stamp may appear on
the face of the instrument and cannot be used for or applied to any other instrument.

14. Only one instrument to be on same stamp. —No second instrument chargeable with duty shall
be written upon a piece of stamped paper upon which an instrument chargeable with duty has already been
written:

Provided that nothing in this section shall prevent any endorsement which is duly stamped or
is not chargeable with duty being made upon any instrument for the purpose of transferring any
right created or evidenced thereby, or of acknowledging the receipt of any money or goods the
payment or delivery of which is secured thereby.

15. Instrument written contrary to section 13 or 14 deemed unstamped.—Every instrument

written in contravention of section 13 or section 14 shall be deemed to be unstamped.

16. Denoting duty. —Where the duty with which an instrument is chargeable, or its exemption from
duty, depends in any manner upon the duty actually paid in respect of another instrument, the payment of
such last-mentioned duty shall, if application is made in writing to the Collector for that purpose, and on
production of both the instruments, be denoted upon such first-mentioned instrument by endorsement under
the hand of the Collector or in such other manner (if any) as the 1 [State Government] may by rule prescribe.

C. — Of the time of stamping instruments

17. Instruments executed in India. — All instruments chargeable with duty and executed by any
person in 2 [India] shall be stamped before or at the time of execution.

18. Instruments other than bills and notes executed out of India.—(1) Every instrument
chargeable with duty executed only out of 2 [India], and not being a bill of exchange 3 *** or promissory
note, may be stamped within three months after it has been first received in 2 [India].

(2) Where any such instrument cannot, with reference to the description of stamp prescribed
therefore, be duly stamped by a private person, it may be taken within the said period of three
months to the Collector, who shall stamp the same, in such manner as the 1 [State Government]
may by rule prescribe, with a stamp of such value as the person so taking such instrument may
require and pay for.

19. Bills and notes drawn out of India.—The first holder in 2 [India] of any bill of
exchange 4 [payable otherwise than on demand], 3 *** or promissory note drawn or made out of 2 [India]
shall, before he presents the same for acceptance or payment, or endorses, transfers or otherwise negotiates
the same in 2 [India], affix thereto the proper stamp and cancel the same:

Provided that,—

(a) if, at the time any such bill of exchange, 3 *** or note comes into the hands of any holder thereof
2
in [India], the proper adhesive stamp is affixed thereto and cancelled in manner prescribed by section
12 and such holder has no reason to believe that such stamp was affixed or cancelled otherwise than by
the person and at the time required by this Act, such stamp shall, so far as relates to such holder, be
deemed to have been duly affixed and cancelled;

(b) nothing contained in this proviso shall relieve any person from any penalty incurred by him for
omitting to affix or cancel a stamp.

1 . Subs. by the A.O. 1950, for “collecting Government”.

2 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).
3 . The word “cheque” omitted by Act 5 of 1927, s. 5.
4 . Ins. by s. 5, ibid.

20
 D. —Of valuations for duty

20. Conversion of amount expressed in foreign currencies.—(1) Where an instrument is

chargeable with ad valorem duty in respect of any money expressed in any currency other than that of
1
[India] such duty shall be calculated on the value of such money in the currency of 1 [India] according to
the current rate of exchange on the day of the date of the instrument.
(2) The Central Government may, from time to time, by notification in the Official Gazette,
prescribe a rate of exchange for the conversion of British or any foreign currency into the currency
of 1 [India] for the purposes of calculating stamp-duty, and such rate shall be deemed to be the
current rate for the purposes of sub-section (1).
21. Stock and marketable securities how to be valued. —Where an instrument is chargeable with ad
valorem duty in respect of any stock or of any marketable or other security, such duty shall be calculated
on the value of such stock or security according to the average price or the value thereof on the day of the
date of the instrument.
22. Effect of statement of rate of exchange or average price. —Where an instrument contains a
statement of current rate of exchange, or average price, as the case may require, and is stamped in
accordance with such statement, it shall, so far as regards the subject-matter of such statement, be presumed,
until the contrary is proved, to be duly stamped.
23. Instruments reserving interest. —Where interest is expressly made payable by the terms of an
instrument, such instrument shall not be chargeable with duty higher than that with which it would have
been chargeable had not mention of interest been made therein.
2
[23A. Certain instruments connected with mortgages of marketable securities to be chargeable
as agreements. — (1) Where an instrument (not being a promissory note or bill of exchange) —
(a) is given upon the occasion of the deposit of any marketable security by way of security for
money advanced or to be advanced by way of loan, or for an existing or future debt, or
(b) makes redeemable or qualifies a duly stamped transfer, intended as a security, of any
marketable security,
it shall be chargeable with duty as if it were an agreement or memorandum of an agreement
chargeable with duty under 3 [Article No. 5 (c)] of Schedule I.
(2) A release or discharge of any such instrument shall only be chargeable with the like duty. ]
24. How transfer in consideration of debt, or subject to future payment, etc., to be charged. —
Where any property is transferred to any person in consideration, wholly or in part, of any debt due to him,
or subject either certainly or contingently to the payment or transfer of any money or stock, whether being
or constituting a charge or incumbrance upon the property or not, such debt, money or stock is to be deemed
the whole or part, as the case may be, of the consideration in respect whereof the transfer is chargeable with
ad valorem duty:
Provided that, nothing in this section shall apply to any such certificate of sale as is mentioned
in Article No. 18 of Schedule I.
Explanation. — In the case of a sale of property subject to a mortgage or other incumbrance,
any unpaid mortgage money or money charged, together with the interest (if any) due on the same,
shall be deemed to be part of the consideration for the sale:
Provided that where property subject to a mortgage is transferred to the mortgage, he shall be
entitled to deduct from the duty payable on the transfer the amount of any duty already paid in
respect of the mortgage.

1 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).

2 . Ins. by Act 15 of 1904, s. 3.
3 . Subs. by Act 1 of 1912, s. 3, for “Article No. 5(b)”.

21
 Illustrations

(1) A owes B Rs. 1,000. A sells a property to B, the consideration being Rs. 500 and the release of the
previous debt of Rs. 1,000. Stamp-duty is payable on Rs. 1,500.
(2) A sells a property to B for Rs. 500 which is subject to a mortgage to C for Rs. 1,000 and unpaid
interest Rs 200. Stamp-duty is payable on Rs. 1,700.
(3) A mortgages a house of the value of Rs. 10,000 to B for Rs. 5,000. B afterwards buys the house
from A. Stamp-duty is payable on Rs. 10,000 less the amount of stamp-duty already paid for the mortgage.
25. Valuation in case of annuity, etc. —Where an instrument is executed to secure the payment of an
annuity or other sum payable periodically, or where the consideration for a conveyance is an annuity or
other sum payable periodically, the amount secured by such instrument or the consideration for such
conveyance, as the case may be, shall, for the purposes of this Act, be deemed to be, —
(a) where the sum is payable for a definite period so that the total amount to be paid can be
previously ascertained—such total amount;
(b) where the sum is payable in perpetuity or for an indefinite time not terminable with any life in
being at the date of such instrument or conveyance—the total amount which, according to the terms of
such instrument or conveyance, will or may be payable during the period of twenty years calculated
from the date on which the first payment becomes due; and
(c) where the sum is payable for an indefinite time terminable with any life in being at the date of
such instrument or conveyance — the maximum amount which will or may be payable as aforesaid
during the period of twelve years calculated from the date on which the first payment becomes due.
26. Stamp where value of subject-matter is indeterminate. —Where the amount or value of the
subject-matter of any instrument chargeable with ad valorem duty cannot be, or (in the case of an instrument
executed before the commencement of this Act) could not have been, ascertained at the date of its execution
or first execution, nothing shall be claimable under such instrument more than the highest amount or value
for which, if stated in an instrument of the same description, the stamp actually used would, at the date of
such execution, have been sufficient:
1 [Providedthat, in the case of the lease of a mine in which royalty or a share of the produce is
received as the rent or part of the rent, it shall be sufficient to have estimated such royalty or the
value of such share, for the purpose of stamp-duty, —
(a) when the lease has been granted by or on behalf of 2 [the Government], at such amount or value
as the Collector may, having regard to all the circumstances of the case, have estimated as likely to be
payable by way of royalty or share to 3 [the Government] under the lease, or
(b) when the lease has been granted by any other person, at twenty thousand rupees a year,
and the whole amount of such royalty or share, whatever it may be, shall be claimable under such
lease:] Provided also that where proceedings have been taken in respect of an instrument under
section 31 or
41, the amount certified by the Collector shall be deemed to be the stamp actually used at the
date of execution.
27. Facts affecting duty to be set forth in instrument. —The consideration (if any) and all other
facts and circumstances affecting the chargeability of any instrument with duty, or the amount of the duty
with which it its chargeable, shall be fully and truly set forth therein.

1 . Subs. by Act 15 of 1904, s. 4, for the proviso.

2 . Subs. by the A.O. 1937, for “the secretary of State in Council”.
3 . Subs., ibid., for “the said Secretary of State in Council”.

22
 28. Direction as to duty in case of certain conveyances. — (1) Where any property has been
contracted to be sold for one consideration for the whole, and is conveyed to the purchaser in separate parts
by different instruments, the consideration shall be apportioned in such manner as the parties think fit,
provided that a distinct consideration for each separate part is set forth in the conveyance relating thereto,
and such conveyance shall be chargeable with ad valorem duty in respect of such distinct consideration.
(2) Where property contracted to be purchased for one consideration for the whole, by two or more
persons jointly, or by any person for himself and others, or wholly for others, is conveyed in parts by
separate instruments to the persons by or for whom the same was purchased, for distinct parts of the
consideration, the conveyance of each separate part shall be chargeable with ad valorem duty in respect of
the distinct part of the consideration therein specified.
(3) Where a person, having contracted for the purchase of any property but not having obtained a
conveyance thereof, contracts to sell the same to any other person and the property is in consequence
conveyed immediately to the sub-purchaser the conveyance shall be chargeable with ad valorem duty in
respect of the consideration for the sale by the original purchaser to the sub -purchaser.
(4) Where a person, having contracted for the purchase of any property but not having obtained a
conveyance thereof, contracts to sell the whole, or any part thereof, to any other person or persons and the
property is in consequence conveyed by the original seller to different persons in parts, the conveyance of
each part sold to a sub-purchaser shall be chargeable with ad valorem duty in respect only of the
consideration paid by such sub-purchaser, without regard to the amount or value of the original
consideration; and the conveyance of the residue (if any) of such property to the original purchaser shall be
chargeable with ad valorem duty in respect only of the excess of the original consideration over the
aggregate of the considerations paid by the sub-purchasers:
Provided that the duty on such last-mentioned conveyance shall in no case be less than one
rupee.
(5) Where a sub-purchaser takes an actual conveyance of the interest of the person immediately selling
to him, which is chargeable with ad valorem duty in respect of the consideration paid by him and is duly
stamped accordingly, any conveyance to be afterwards made to him of the same property by the original
seller shall be chargeable with a duty equal to that which would be chargeable on a conveyance for the
consideration obtained by such original seller, or, where such duty would exceed five rupees, with a duty
of five rupees.

E. —Duty by whom payable

29. Duties by whom payable. —In the absence of an agreement to the contrary, the expense of
providing the proper stamp shall be borne —
(a) in the case of any instrument described in any of the following Articles of Schedule I, namely: —
No. 2. (Administration Bond),
1 [No. 6 (Agreement relating to Deposit of Title-deeds, Pawn or
Pledge),] No. 13 (Bill of exchange),
No. 15 (Bond),
No. 16 (Bottomry Bond),
No. 26 (Customs Bond),
No. 27 (Debenture),
No. 32 (Further charge),

1. Subs. by Act 15 of 1904, s. 5, for “No. 6. (Agreement to Mortgage)”.

23
 No. 34 (Indemnity-Bond),
No. 40 (Mortgage-deed),
No. 49 (Promissory-note),
No. 55 (Release),
No. 56 (Respondentia Bond),
No. 57 (Security-bond or Mortgage-
deed), No. 58 (Settlement),
No. 62 (a). (Transfer of shares in an incorporated Company or other body corporate),
No. 62 (b). (Transfer of debentures, being marketable securities, whether the debenture is
liable to duty or not, except debentures provided for by section 8),
No. 62 (c). (Transfer of any interest secured by a bond, mortgage-deed or policy of
insurance), by the person drawing, making or executing such instrument:
1 [(b)
in the case of a policy of insurance other than fire-insurance—by the person effecting the
insurance,
(bb) in the case of a policy of fire-insurance— by the person issuing the policy;]
(c) in the case of a conveyance (including are-conveyance of mortgaged property:) by the grantee: in
the case of a lease or agreement to lease—by the lessee or intended lessee:
(d) in the case of a counterpart of a lease—by the less or:
(e) in the case of an instrument of exchange—by the parties in equal shares,
(f) in the case of a certificate of sale—by the purchaser of the property to which such certificate relates:
and,
(g) in the case of an instrument of partition—by the parties thereto in proportion to their respective
shares in the whole property partitioned, or, when the partition is made in execution of an order passed by
a Revenue-authority or Civil Court or arbitrator, in such proportion as such authority, Court or arbitrator
directs.
30. Obligation to give receipt in certain cases. — Any person receiving any money exceeding
twenty rupees in amount, or any bill of exchange, cheque or promissory note for an amount exceeding
twenty rupees, or receiving in satisfaction or part satisfaction of a debt any moveable property exceeding
twenty rupees in value, shall, on demand by the person paying or delivering such money, bill, cheque, note
or property, give a duly stamped receipt for the same.
2 [Anyperson receiving or taking credit for any premium or consideration for any renewal of
any contract of fire-insurance, shall, within one month after receiving or taking credit for such
premium or consideration, give a duly stamped receipt for the same.]
CHAPTER III
ADJUDICATION AS TO STAMPS
31. Adjudication as to proper stamp. —(1) When any instrument, whether executed or not and
whether previously stamped or not, is brought to the Collector, and the person bringing it applies to have
the opinion of that officer as to the duty (if any) with which it is chargeable, and pays a fee of such amount
(not exceeding five rupees and not less than 3 [fifty naye paise]) as the Collector may in each case direct, the
Collector shall determine the duty (if any) with which, in his judgment, the instrument is chargeable.

1 . Subs. by Act 5 of 1906, s. 4, for clause (b).

2 . Added by s. 5, ibid.
3 . Subs. by Act 19 of 1958, s. 3, for “eight annas” (w.e.f. 1-10-1958).

24
 (2) For this purpose the Collector may require to be furnished with an abstract of the instrument, and
also with such affidavit or other evidence as he may deem necessary to prove that all the facts and
circumstances affecting the chargeability of the instrument with duty, or the amount of the duty with which
it is chargeable, are fully and truly set forth therein, and may refuse to proceed upon any such application
until such abstract and evidence have been furnished accordingly:
Provided that—
(a) no evidence furnished in pursuance of this section shall be used against any person in any civil
proceeding, except in an inquiry as to the duty with which the instrument to which it relates is
chargeable; and
(b) every person by whom any such evidence is furnished, shall, on payment of the full duty with
which the instrument to which it relates, is chargeable, be relieved from any penalty which he may have
incurred under this Act by reason of the omission to state truly in such instrument any of the facts or
circumstances aforesaid.
32. Certificate by Collector. — (1) When an instrument brought to the Collector under section 31 is,
in his opinion, one of a description chargeable with duty, and
(a) the Collector determines that it is already fully stamped, or
(b) the duty determined by the Collector under section 31, or such a sum as, with the duty already
paid in respect of the instrument, is equal to the duty so determined, has been paid,
the Collector shall certify by endorsement on such instrument that the full duty (stating the amount)
with which it is chargeable has been paid.
(2) When such instrument is, in his opinion, not chargeable with duty, the Collector shall certify in
manner aforesaid that such instrument is not so chargeable.
(3) Any instrument upon which an endorsement has been made under this section, shall be deemed to
be duly stamped or not chargeable with duty, as the case may be; and, if chargeable with duty, shall be
receivable in evidence or otherwise, and may be acted upon and registered as if it had been originally duly
stamped:
Provided that nothing in this section shall authorize the Collector to endorse—
(a) any instrument executed or first executed in 1 [India] and brought to him after the expiration of
one month from the date of its execution or first execution, as the case may be;
(b) any instrument executed or first executed out of 1 [India] and brought to him after the expiration
of three months after it has been first received in 1 [India]; or
(c) any instrument chargeable 2 [with a duty not exceeding ten naye paise], or any bill of exchange
or promissory note, when brought to him, after the drawing or execution thereof, on paper not duly
stamped.
CHAPTER IV
INSTRUMENTS NOT DULY STAMPED
33. Examination and impounding of instruments. — (1) Every person having by law or consent of
parties authority to receive evidence, and every person in charge of a pubic office, except an officer of
police, before whom any instrument, chargeable, in his opinion, with duty, is produced or comes in the
performance of his functions, shall, if it appears to him that such instrument is not duly stamped, impound
the same.

1 . Subs. by Act 43 of 1955 s. 2 for “that States” (w.e.f. 1-4-1956).

2 . Subs. by Act 19 of 1958, s. 4 for “with the Duty of one anna or half an anna” (w.e.f. 1-10-1958).

25
 (2) For that purpose every such person shall examine every instrument so chargeable and so produced
or coming before him, in order to ascertain whether it is stamped with a stamp of the value and description
required by the law in force in 1 [India] when such instrument was executed or first executed:
Provided that—
(a) nothing herein contained shall be deemed to require any Magistrate of Judge of a Criminal
Court to examine or impound, if he does not think fit so to do, any instrument coming before him in
the course of any proceeding other than a proceeding under Chapter XII or Chapter XXXVI of the Code
of Criminal Procedure, 1898 (V of 1989);
(b) in the case of a Judge of a High Court, the duty of examining and impounding any instrument
under this section may be delegated to such officer as the Court appoints in this behalf.
(3) For the purposes of this section, in cases of doubt, —

(a) 2 [the 3 [State Government]] may determine what offices shall be deemed to be public offices;
and
(b) 4 [the 3 [State Government]] may determine who shall be deemed to be persons in charge of
public offices.
34. Special provision as to unstamped receipts. —Where any receipt chargeable 5 [With a duty not
exceeding ten naye paise] is tendered to or produced before any officer unstamped in the course of the audit
of any public account, such officer may in his discretion, instead of impounding the instrument, require a
duly stamped receipt to be substituted therefore.
35. Instruments not duly stamped inadmissible in evidence, etc. — No instrument chargeable with
duty shall be admitted in evidence for any purpose by any person having by law or consent of parties
authority to receive evidence, or shall be acted upon, registered or authenticated by any such person or by
any public officer, unless such instrument is duly stamped :
Provided that—
(a) any such instrument 6 [shall] be admitted in evidence on payment of the duty with which the
same is chargeable, or, in the case of any instrument insufficiently stamped, of the amount required to
make up such duty, together with a penalty of five rupees, or, when ten times the amount of the proper
duty or deficient portion thereof exceeds five rupees, of a sum equal to ten times such duty or portion;
(b) where any person from whom a stamped receipt could have been demanded, has given an
unstamped receipt and such receipt, if stamped, would be admissible in evidence against him, then such
receipt shall be admitted in evidence against him on payment of a penalty of one rupee by the person
tendering it;
(c) Where a contract or agreement of any kind is effected by correspondence consisting of two or
more letters and any one of the letters bears the proper stamp, the contract or agreement shall be deemed
to be duly stamped;
(d) nothing herein contained shall prevent the admission of any instrument in evidence in
proceeding in a Criminal Court, other than a proceeding under Chapter XII or Chapter XXXVI of the
Code of Criminal Procedure 1898 (V of 1898);
(e) nothing herein contained shall prevent the admission of any instrument in any Court when such
instrument has been executed by or on behalf of the Government, or where it bears the certificate of
the Collector as provided by section 32 or any other provision of this Act.

1 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).

2 . Subs. by the A.O. 1937, for “the G.G. in C.”.
3 . Subs. by the A.O. 1950, for “collecting Government”.
4 . Subs. by the A.O. 1937, for “the L.G.”.
5 . Subs. by Act 19 of 1958, s. 5, for “with a duty of one anna” (w.e.f. 1-10-1958).
6 . Subs. by Act 21 of 2006, s. 69, for “not being an instrument chargeable with a duty not exceeding ten naye paise
only, or a bill of exchange or promissory note, shall, subject to all just exceptions,”

26
 36. Admission of instrument where not to be questioned. —Where an instrument has been admitted
in evidence, such admission shall not, except as provided in section 61, be called in question at any stage
of the same suit or proceeding on the ground that the instrument has not been duly stamped.
37. Admission of improperly stamped instruments. — 1 [The 2 [State Government]] may make rules
providing that, where an instrument bears a stamp of sufficient amount but of improper description, it may,
on payment of the duty with which the same is chargeable, be certified to be duly stamped, and any
instrument so certified shall then be deemed to have been duly stamped as from the date of its execution.
38. Instruments impounded how dealt with. — (1) When the person impounding an instrument
under section 33 has by law or consent of parties authority to receive evidence and admits such instrument
in evidence upon payment of a penalty as provided by section 35 or of duty as provided by section 37, he
shall send to the Collector an authenticated copy of such instrument, together with a certificate in writing,
stating the amount of duty and penalty levied in respect thereof, and shall send such amount to the Collector,
or to such person as he may appoint in this behalf.

(2) In every other case, the person so impounding an instrument shall send it in original to the
Collector.
39. Collector’s power to refund penalty paid under section 38, sub-section (1). — (1) When a copy
of an instrument is sent to the Collector under section 38, sub-section (1), he may, if he thinks fit, 3***
refund any portion of the penalty in excess of five rupees which has been paid in respect of such instrument.

(2) When such instrument has been impounded only because it has been written in
contravention of section 13 or section 14, the Collector may refund the whole penalty so paid.
40. Collectors power to stamp instruments impounded. — (1) When the Collector impounds any
instrument under section 33, or receives any instrument sent to him under section 38, sub-section (2), not
being an instrument chargeable 4 [with a duty not exceeding ten naye paise] only or a bill of exchange or
promissory note, he shall adopt the following procedure: —
(a) if he is of opinion that such instrument is duly stampeded or is not chargeable with duty, he
shall certify by endorsement thereon that it is duly stamped, or that it is not so chargeable, as the case
may be;
(b) if he is of opinion that such instrument is chargeable with duty and is not duly stamped, he shall
require the payment of the proper duty or the amount required to make up the same, together with a
penalty of five rupees; or, if he thinks fit, 5 [an amount not exceeding] ten times the amount of the proper
duty or of the deficient portion thereof, whether such amount exceeds or falls short of five rupees:

Provided that, when such instrument has been impounded only because it has been written
in contravention of section 13 or section 14, the Collector may, if he thinks fit, remit the whole
penalty prescribed by this section.
(2) Every certificate under clause (a) of sub-section (1) shall, for the purposes of this Act, be conclusive
evidence of the matters stated therein.
(3) Where an instrument has been sent to the Collector under section 38, sub-section (2), the Collector
shall, when he has dealt with it as provided by this section, return it to the impounding officer.

1 . Subs. by the A.O. 1937, for “the G.G. in C.”.

2 . Subs. by the A. O. 1950, for “collecting Government”.
3 . The words “upon application made to him in this behalf or, if no application is made, with the consent of the chief
Controlling Revenue-authority” omitted by Act 4 of 1914, s. 2 and the Sch. Pt I.
4 . Subs. by Act 19 of 1958, s. 6, for “with a duty of one anna or half an anna” (w.e.f. 1-10-1958).
5 . Ins. by Act 15 of 1904, s. 6.

27
 41. Instruments unduly stamped by accident. — If any instrument chargeable with duty and not
duly stamped, not being an instrument chargeable 1 [with a duty not exceeding ten naye paise] only or a bill
of exchange or promissory note, is produced by any person of his own motion before the Collector within
one year from the date of its execution or first execution, and such person brings to the notice of the
Collector the fact that such instrument is not duly stamped and offers to pay to the Collector the amount of
the proper duty, or the amount required to make up the same, and the Collector is satisfied that the omission
to duly stamp such instrument has been occasioned by accident, mistake or urgent necessity, he may, instead
of proceeding under sections 33 and 40, receive such amount and proceed as next herein after prescribed.

42. Endorsement of instruments on which duty has been paid under sections 35, 40 or 41 — (1)
When the duty and penalty (if any), leviable in respect of any instrument have been paid under section 35,
section 40 or section 41, the person admitting such instrument in evidence or the Collector, as the case may
be, shall certify by endorsement thereon that the proper duty or, as the case may be, the proper duty and
penalty (stating the amount of each) have been levied in respect thereof, and the name and residence of the
person paying them.

(2) Every instrument so endorsed shall thereupon be admissible in evidence, and may be registered and
acted upon and authenticated as if it had been duly stamped, and shall be delivered on his application in
this behalf to the person from whose possession it came into the hands of the officer impounding it, or as
such person may direct:

Provided that—
(a) no instrument which has been admitted in evidence upon payment of duty and a penalty under
section 35, shall be so delivered before the expiration of one month from the date of such impounding,
or if the Collector has certified that its further detention is necessary and has not cancelled such
certificate;

(b) nothing in this section shall affect 2 the Code of Civil Procedure (XIV of 1882), section 144,
clause 3.

43. Prosecution for offence against Stamp-law. — The taking of proceedings or the payment of a
penalty under this Chapter in respect of any instrument shall not bar the prosecution of any person who
appears to have committed an offence against the Stamp-law in respect of such instrument:

Provided that no such prosecution shall be instituted in the case of any instrument in respect of
which such a penalty has been paid, unless it appears to the Collector that the offence was
committed with an intention of evading payment of the proper duty.
44. Persons paying duty or penalty may recover same in certain cases. —(1) When any duty or
penalty has been paid under section 35, section 37, section 40 or section 41, by any person in respect of an
instrument, and, by agreement or under the provisions of section 29 or any other enactment in force at the
time such instrument was executed, some other person was bound to bear the expense of providing the
proper stamp for such instrument, the first-mentioned person shall be entitled to recover from such other
person the amount of the duty or penalty so paid.

(2) For the purpose of such recovery any certificate granted in respect of such instrument under this
Act shall be conclusive evidence of the matters therein certified.

(3) Such amount may, if the Court thinks fit, be included in any order as to costs in any suit or
proceeding to which such persons are parties and in which such instrument has been tendered in evidence.
If the Court does not include the amount in such order, no further proceedings for the recovery of the amount
shall be maintainable.

1 . Subs. by Act 19 of 1958, s. 6 for “with a duty of one anna or half an anna” (w.e.f. 1-10-1958).
2 . See now the Code of Civil Procedure, 1908 (5 of 1908), Sch. I, Order XIII, Rule 9.

28
 45. Power to Revenue-authority to refund penalty or excess duty in certain cases. — (1) Where
any penalty is paid under section 35 or section 40, the Chief Controlling Revenue -authority may, upon
application in writing made within one year from the date of the payment, refund such penalty wholly or in
part.
(2) Where, in the opinion of the Chief Controlling Revenue-authority, stamp-duty in excess of
that which is legally chargeable has been charged and paid under section 35 or section 40, such
authority may, upon application in writing made within three months of the order charging the
same, refund the excess.
46. Non-liability for loss of instruments sent under section 38. — (1) If any instrument sent to the
Collector under section 38, sub-section (2), is lost, destroyed or damaged during transmission, the person
sending the same shall not be liable for such loss, destruction or damage.
(2) When any instrument is about to be so sent, the person from whose possession it came into
the hands of the person impounding the same, may require a copy thereof to be made at the expense
of such first-mentioned person and authenticated by the person impounding such instrument.
47. Power of payer to stamp bills, and promissory notes received by him unstamped. — When
any bill of exchange 1 [or promissory note] chargeable 2 [with a duty not exceeding ten naye paise] is
presented for payment unstamped, the person to whom it is so presented, may affix thereto the necessary
adhesive stamp, and, upon cancelling the same in manner hereinbefore provided, may pay the sum payable
upon such bill 3 [or note], and may charge the duty against the person who ought to have paid the same, or
deduct it from the sum payable as aforesaid, and such bill 3 [or note], shall, so far as respects the duty, be
deemed good and valid :
Provided that nothing herein contained shall relieve any person from any penalty or
proceeding to which he may be liable in relation to such bill, 3 [or note].
48. Recovery of duties and penalties. — All duties, penalties and other sums required to be paid
under this Chapter may be recovered by the Collector by distress and sale of the movable property of the
person from whom the same are due, or by any other process for the time being in force for the recovery of
arrears of land-revenue.
CHAPTER V
ALLOWANCES FOR STAMPS IN CERTAIN CASES
49. Allowance for spoiled stamps. — Subject to such rules as may be made by 4 [the 5 [State
Government]] as to the evidence to be required, or the enquiry to be made, the Collector may, on application
made within the period prescribed in section 50, and if he is satisfied as to the facts, make allowance for
impressed stamps spoiled in the cases herein after mentioned, namely: —
(a) the stamp on any paper inadvertently and undesignedly spoiled, obliterated or by error in
writing or any other means rendered unfit for the purpose intended before any instrument written
thereon is executed by any person:
(b) the stamp on any document which is written out wholly or in part, but which is not signed or
executed by any party thereto:
(c) in the case of bills of exchange 6 [payable otherwise than on demand] 7 *** or promissory
notes—

1 . Subs. by Act 5 of 1927, s. 5, for “promissory note or cheque”.

2 . Subs. by Act 19 of 1958, s. 7, for “with the duty of one anna” (w.e.f. 1-10-1958).
3 . Subs. by Act 5 of 1927, s. 5, for “note or cheque”.
4 . Subs. by the A.O. 1937, for “the L.G.”.
5 . Subs. by the A.O. 1950, for “collecting Government”.
6 . Ins. by Act 5 of 1927, s. 5.
7 . The word “Cheques” omitted by s. 5, ibid.
29
 (1) the stamp on 1 [any such bill of exchange] 2 ***signed by or on behalf of the drawer which has
not been accepted or made use of in any manner whatever or delivered out of his hands for any purpose
other than by way of tender for acceptance: provided that the paper on which any such stamp is
impressed, does not bear any signature intended as or for the acceptance of any bill of exchange
2
*** to be afterwards written thereon:

(2) the stamp on any promissory note signed by or on behalf of the maker which has not been made
use of in any manner whatever or delivered out of his hands:

(3) the stamp used or intended to be used for 1 [any such bill of exchange] 3 *** or promissory note
signed by, or on behalf of, the drawer thereof, but which from any omission or error has been spoiled
or rendered useless, although the same, being a bill of exchange 2 *** may have been presented for
acceptance or accepted or endorsed, or, being a promissory note, may have been delivered to the payee:
provided that another completed and duly stamped bill of exchange 3 ***or promissory note is produced
identical in every particular, except in the correction of such omission or error as aforesaid, with the
spoiled bill, 3 *** or note;

(d) the stamp used for an instrument executed by any party thereto which—

(1) has been afterwards found to be absolutely void in law from the beginning:

(2) has been afterwards found unfit, by reason of any error or mistake therein, for the purpose
originally intended:

(3) by reason of the death of any person by whom it is necessary that it should be executed, without
having executed the same, or of the refusal of any such person to execute the same, cannot be completed
so as to effect the intended transaction in the form proposed:

(4) for want of the execution thereof by some material party, and his inability or refusal to sign the
same, is in fact incomplete and insufficient for the purpose for which it was intended:

(5) by reason of the refusal of any person to act under the same, or to advance any money intended
to be thereby secured, or by the refusal or non-acceptance of any office thereby granted, totally fails of
the intended purpose:

(6) becomes useless in consequence of the transaction intended to be thereby effected being
effected by some other instrument between the same parties and bearing a stamp of not less value:

(7) is deficient in value and the transaction intended to be thereby effected has been effected by
some other instrument between the same parties and bearing a stamp of not less value:

(8) is inadvertently and undesignedly spoiled, and in lieu whereof another instrument made
between the same parties and for the same purpose is executed and duly stamped:

Provided that, in the case of an executed instrument, no legal proceeding has been commenced
in which the instrument could or would have been given or offered in evidence and that the
instrument is given up to be cancelled.

1 . Subs. by Act 5 of 1927, s. 5, for “any bill of exchange”.

2 . The words “or cheque” omitted by s. 5, ibid.
3 . The word “cheque” omitted by s. 5, ibid.
30
 Explanation.—The certificate of the Collector under section 32 that the full duty with which
an instrument is chargeable, has been paid is an impressed stamp within the meaning of this
section.

50. Application for relief under section 49 when to be made.—The application for relief under
section 49 shall be made within the following periods, that is to say, —

(1) in the cases mentioned in clause (d) (5), within two months of the date of the instrument:

(2) in the case of a stamped paper on which no instrument has been executed by any of the parties
thereto, within six months after the stamp has been spoiled:

(3) in the case of a stamped paper in which an instrument has been executed by any of the parties
thereto, within six months after the date of the instrument, or, if it is not dated, within six months after
the execution thereof by the person by whom it was first or alone executed:

Provided that, —

(a) when the spoiled instrument has been for sufficient reasons sent out of 1 [India], the application
may be made within six months after it has been received back in 1 [India] ;

(b) when, from unavoidable circumstances, any instrument for which another instrument has been
substituted, cannot be given up to be cancelled within the aforesaid period, the application may be made
within six months after the date of execution of the substituted instrument.

51. Allowance in case of printed forms no longer required by Corporations. —The Chief
Controlling Revenue-authority 2 [or the Collector if empowered by the Chief Controlling Revenue-
authority in this behalf] may, without limit of time, make allowance for stamped papers used for printed
forms of instruments 3 [by any banker or] by any incorporated company or other body corporate, if for any
sufficient reason such forms have ceased to be required by the said 3 [banker], company or body corporate:
provided that such authority is satisfied that the duty in respect of such stamped papers has been duly paid.

52. Allowance for misused stamps. —(a) When any person has inadvertently used for an instrument
chargeable with duty, a stamp of a description other than that prescribed for such instrument by the rules
made under this Act, or a stamp of greater value than was necessary, or has inadvertently used any stamp
for an instrument not chargeable with any duty; or

(b) when any stamp used for an instrument has been inadvertently rendered useless under
section 15, owing to such instrument having been written in contravention of the provisions of
section 13;

the Collector may, on application made within six months after the date of the instrument, or,
if it is not dated, within six months after the execution thereof by the person by whom it was first
or alone executed, and upon the instrument, if chargeable with duty, being re-stamped with the
proper duty, cancel and allow as spoiled the stamp so misused or rendered useless.

53. Allowance for spoiled or misused stamps how to be made. — In any case in which allowance is
made for spoiled or misused stamps, the Collector may give in lieu thereof —

(a) other stamps of the same description and value; or,

1 . Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).

31
2 . Ins. by Act 4 of 1914, s. 2 and Sch. pt. 1.
3 . Ins. by Act 5 of 1906, s. 6.

32
 (b) if required and he thinks fit, stamps of any other description to the same amount in value; or,
(c) at his discretion, the same value in money, deducting 1 [ten naye paise] for each rupee or
fraction of a rupee.
54. Allowance for stamps not required for use. — When any person is possessed of a stamp or
stamps which have not been spoiled or rendered unfit or useless for the purpose intended, but for which he
has no immediate use, the Collector shall repay to such person the value of such stamp or stamps in money,
deducting 1 [ten naye paise] for each rupee or portion of a rupee, upon such person delivering up the same
to be cancelled, and proving to the Collector's satisfaction—
(a) that such stamp or stamps were purchased by such person with a bona fide intention to use
them; and
(b) that he has paid the full price thereof; and
(c) that they were so purchased within the period of six months next preceding the date on which
they were so delivered:

Provided that, where the person is a licensed vendor of stamps, the Collector may, if he thinks
fit, make the repayment of the sum actually paid by the vendor without any such deduction as
aforesaid.
2 [54A. Allowances for stamps in denominations of annas. — Notwithstanding anything
contained in section 54, when any person is possessed of a stamp or stamps in any denominations,
other than in denominations of annas four of multiples thereof and such stamp or stamps has or
have not been spoiled, the Collector shall repay to such person the value of such stamp or stamps
in money calculated in accordance with the provisions of sub-section (2) of section 14
of the Indian Coinage Act, 1906, (3 of 1906) upon such person delivering up, within six months
from the commencement of the Indian Stamp (Amendment) Act,1958 (19 of 1958), such stamp or
stamps to the Collector.]
3[54B. Allowances for Refugee Relief Stamps. — Notwithstanding anything contained
in section 54, when any person is possessed of stamps bearing the inscription “Refugee Relief”
(being stamps issued in pursuance of section 3A before its omission) and such stamps have not
been spoiled, the Collector shall, upon such person delivering up, within six-month, from the
commencement of the Refugee Relief Taxes (Abolition) Act, 1973 (13 of 1973), such stamps to
the Collector, refund to such person the value of such stamps in money or give in lieu thereof other
stamps of the same value:
Provided that the State Government may, with a view to facilitating expeditious disposal of
claims for such refunds, specify, in such manner as it deems fit, any other procedure which may
also be followed for claiming such refunds.]
55. Allowance on renewal of certain debentures. — When any duly stamped debenture is renewed
by the issue of a new debenture in the same terms, the Collector shall, upon application made within one
month, repay to the person issuing such debenture, the value of the stamp on the original or on the new
debenture, whichever shall be less:

Provided that the original debenture is produced before the Collector and cancelled by him in
such manner as 4 [the State Government] may direct.
Explanation. — A debenture shall be deemed to be renewed in the same terms within the
meaning of this section notwithstanding the following changes:—
(a) the issue of two or more debentures in place of one original debenture, the total amount
secured being the same;

33
1 . Subs. by Act 19 of 1958, s. 8, for “one anna” (w.e.f. 1-10-1958)
2 . Ins. by s. 9, ibid. (w.e.f. 1-10-1958).
3 . Ins. by Act 13 of 1973, s. 2 (w.e.f. 1-4-1973).
4 . Subs. by the A. O. 1937, for “the G.G. in C.”.

34
 (b) the issue of one debenture in place of two or more original debentures, the total amount
secured being the same;

(c) the substitution of the name of the holder at the time of renewal for the name of the original
holder; and

(d) the alteration of the rate of interest or the dates of payment thereof.

CHAPTER VI

REFERENCE AND REVISION

56. Control of, and statement of case to, Chief Controlling Revenue-authority. — (1) The powers
exercisable by a Collector under Chapter IV and Chapter V 1 [and under clause (a) of the first proviso to
section 26] shall in all cases be subject to the control of the Chief Controlling Revenue - authority.

(2) If any Collector, acting under section 31, section 40 or section 41, feels doubt as to the amount of
duty with which any instrument is chargeable, he may draw up a statement of the case, and refer it, with his
own opinion thereon, for the decision of the Chief Controlling Revenue -authority.

(3) Such authority shall consider the case and send a copy of its decision to the Collector, who shall
proceed to asses and charge the duty (if any) in conformity with such decision.

57. Statement of case by Chief Controlling Revenue-authority to High Court. — (1) The Chief
Controlling Revenue-authority may state any case referred to it under section 56, sub -section (2), or
otherwise coming to its notice, and refer such case, with its own opinion thereon, —
2 [(a) if it arises in a State, to the High Court for that State;
3 [(b) if it arises in the Union territory of Delhi, to the High Court of Delhi;]
4* * * * *
5 [(c)
if it arises in the Union territory of Arunachal Pradesh or Mizoram, to the Gauhati
High Court (the High Court of Assam, Nagaland, Meghalaya, Manipur and Tripura;)]
(d) if it arises in the Union territory of the Andaman and Nicobar Islands, to the High Court at
Calcutta ;

(e) if it arises in the Union territory of the 6 [Lakshadweep], to the High Court of Kerala;]
7[(ee) if it arises in the Union territory of Chandigarh, to the High Court of Punjab and
Haryana;]
8 [(f)
if it arises in the Union territory of Dadra and Nagar Haveli, to the High Court of
Bombay.]

1 . Ins. by Act 15 of 1904, s. 7.

2 . Subs. by the A.O. (No. 2) 1956, for clauses (a) to (g).
3 . Subs. by the Punjab Reorganisation and Delhi High Court (Adaptation of Laws on Union Subjects) Order, 1968,
s. 3 and Sch. for clause (b) (w.e.f. 1-11-1966).
4 . Clause (bb) ins. by s. 3 and Sch. ibid. And omitted by the state of Himachal Pradesh (Adaptation of Law on
Union Subjects) Order, 1973, s. 3 and Sch. (w.e.f. 25-1-1971).
5 . Subs. by the North-Eastern Areas (Reorganisation) (Adaptation of Laws on union Subjects) Order 1974, s. 3 and
Sch. for clause (c) (w.e.f. 21-1-1972).
6 . Subs. by the Laccadive, Minicoy and Amindivi Islands (Alteration of Name) Adaptation of Laws Order, 1974, s.
3 and Sch. for “the Laccadive, Minicoy and Amindivi Islands” (w.e.f. 1-11-1973).
7 . Ins. by the Punjab Reorganisation and Delhi High Court (Adaptation of Laws on Union Subjects) Order, 1968,
s. 3 and Sch. (w.e.f. 1-11-1966).
8 . Ins. by Reg. 6 of 1963, s. 2 and the First Sch.
35
 (2) Every such case shall be decided by not less than three Judges of the High Court 1 *** to
which it is referred, and in case of difference the opinion of the majority shall prevail.

58. Power of High Court to call for further particulars as to case stated. — If the High Court 2***
is not satisfied that the statements contained in the case are sufficient to enable it to determine the questions
raised thereby, the Court may refer the case back to the Revenue-authority by which it was stated, to make
such additions thereto or alterations therein as the Court may direct in that behalf.

59. Procedure in disposing of case stated. — (1) The High Court, 2 *** upon the hearing of any such
case, shall decide the questions raised thereby, and shall deliver its judgment thereon containing the grounds
on which such decision is founded.

(2) The Court shall send to the Revenue-authority by which the case was stated, a copy of such
judgment under the seal of the Court and the signature of the Registrar; and the Revenue-authority
shall, on receiving such copy, dispose of the case conformably to such judgment.

60. Statement of case by other Courts to High Court. — (1) If any Court, other than a Court
mentioned in section 57, feels doubt as to the amount of duty to be paid in respect of any instrument under
proviso (a) to section 35, the Judge may draw up a statement of the case and refer it, with his own opinion
thereon, for the decision of the High Court 2 *** to which, if he were the Chief Controlling Revenue-
authority, he would, under section 57, refer the same.

(2) Such Court shall deal with the case as if it had been referred under section 57, and send a copy of
its judgment under the seal of the Court and the signature of the Registrar to the Chief Controlling Revenue-
authority and another like copy to the Judge making the reference, who shall, on receiving such copy,
dispose of the case conformably to such judgment.

(3) Reference made under sub-section (1), when made by a Court subordinate to a District Court, shall
be made through the District Court, and, when made by any subordinate Revenue Court, shall be made
through the Court immediately superior.

61. Revision of certain decisions of Courts regarding the sufficiency of stamps. —(1) When any
Court in the exercise of its civil or revenue jurisdiction or any Criminal Court in any proceeding under
Chapter XII or Chapter XXXVI of the Code of Criminal Procedure, 1898 (V of 1898), makes any order
admitting any instrument in evidence as duly stamped or as not requiring a stamp, or upon payment of duty
and a penalty under section 35, the Court to which appeals lie form, or references are made by, such first-
mentioned Court may, of its own motion or on the application of the Collector, take such order into
consideration.

(2) If such Court, after such consideration, is of opinion that such instrument should not have been
admitted in evidence without the payment of duty and penalty under section 35, or without the payment of
a higher duty and penalty than those paid, it may record a declaration to that effect, and determine the
amount of duty with which such instrument is chargeable, and may require any person in whose possession
or power such instrument then is, to produce the same, and may impound the same when produced.

(3) When any declaration has been recorded under sub-section (2), the Court recording the same shall
send a copy thereof to the Collector, and, where the instrument to which it relates has been impounded or
is otherwise in the possession of such Court, shall also send him such instrument.

(4) The Collector may thereupon, notwithstanding anything contained in the order admitting such
instrument in evidence, or in any certificate granted under section 42, or in section 43, prosecute any person
for any offence against the Stamp-law which the Collector considers him to have committed in respect of
such instrument:

1 . The words “Chief Court or Judicial Commissioner’s Court” omitted by the A.O. 1950.
2 . The words “Chief Court or Judicial Commissioner’s Court” omitted by the A.O. 1948.

36
Provided that. ––
(a) no such prosecution shall be instituted where the amount (including duty and penalty) which,
according to the determination of such Court, was payable in respect of the instrument under
section 35, is paid to the Collector, unless he thinks that the offence was committed with an intention
of evading payment of the proper duty;
(b) except for the purposes of such prosecution, no declaration made under this section shall affect
the validity of any order admitting any instrument in evidence, or of any certificate granted under
section 42.
CHAPTER VII
CRIMINAL OFFENCES AND PROCEDURE
62. Penalty for executing, etc., instrument not duly stamped. ––(1) Any person ––
(a) drawing, making, issuing, endorsing or transferring, or signing otherwise than as a witness, or
presenting for acceptance or payment, or accepting, paying or receiving payment of, or in any manner
negotiating, any bill of exchange 1 [payable otherwise than on demand] 2 *** or promissory note without
the same being duly stamped ; or
(b) executing or signing otherwise than as a witness any other instrument chargeable with duty
without the same being duly stamped; or
(c) voting or attempting to vote under nay proxy not duly stamped;
shall for every such offence be punishable with fine which may extend to five hundred rupees:
Provided that, when any penalty has been paid in respect of any instrument under section 35,
section
40 or section 61, the amount of such penalty shall be allowed in reduction of the fine, (if any)
subsequently imposed under this section in respect of the same instrument upon the person who
paid such penalty.
(2) If a share-warrant is issued without being duly stamped, the company issuing the same, and
also every person who, at the time when it is issued, is the managing director or secretary or other
principal officer of the company, shall be punishable with fine which may extend to five hundred
rupees.
63. Penalty for failure to cancel adhesive stamp. –– Any person required by section 12 to cancel an
adhesive stamp, and failing to cancel such stamp in manner prescribed by that section, shall, be publishable
with fine which may extend to one hundred rupees.
64. Penalty for omission to comply with provisions of section 27. –– Any person who, with intent to
defraud the Government, ––
(a) executes any instrument in which all the facts and circumstances required by section 27 to be
set forth in such instrument are not fully and truly set forth; or
(b) being employed or concerned in or about the preparation of any instrument, neglects or omits
fully and truly to set forth therein all such facts and circumstances; or
(c) does any other act calculated to deprive the Government of any duty or penalty under this Act;
shall be punishable with fine which may extend to five thousand rupees.
65. Penalty for refusal to give receipt, and for devices to evade duty on receipts. –
– Any person who,––
(a) being required under section 30 to give a receipt, refuses or neglects to give the same; or,

1 . Ins by Act 5 of 1927, s. 5.

37
2 . The word “cheque” omitted by s. 5, ibid.

38
 (b) with intent to defraud the Government of any duty, upon a payment of money or delivery of
property exceeding twenty rupees in amount or value, gives a receipt for an amount or value not
exceeding twenty rupees, or separates or divides the money or property paid or delivered;
shall be punishable with fine which may extend to one hundred rupees.
66. Penalty for not making out policy or making one not duly stamped. ––Any person who––
(a) receives, or takes credit for, any premium or consideration for any contract of insurance and
does not, within one month after receiving, or taking credit for, such premium or consideration, make
out and execute a duly stamped policy of such insurance; or
(b) makes, executes or delivers out any policy which is not duly stamped, or pays or allows in
account, or agrees to pay or allow in account, any money upon, or in respect of, any such policy;
shall be punishable with fine which may extend to two hundred rupees.
67. Penalty for not drawing full number of bills or marine policies purporting to be in sets. ––
Any person drawing or executing a bill of exchange 1 [payable otherwise than on demand] or a policy of
marine insurance purporting to be drawn or executed in a set of two or more, and not at the same time
drawing or executing on paper duly stamped the whole number of bills or policies of which such bill or
policy purports the set to consist, shall be punishable with fine which may extend to one thousand rupees.
68. Penalty for post-dating bills, and for other devices to defraud the revenue. ––Any person who,
––
(a) with intent to defraud the Government of duty, draws, makes or issues any bill of exchange or
promissory note bearing a date subsequent to that on which such bill or note is actually drawn or made;
or,
(b) knowing that such bill or note has been so post-dated, endorses, transfers, presents for
acceptance or payment, or accepts, pays or receives payment of, such bill or note, or in any manner
negotiate the same; or,
(c) with the like intent, practices or is concerned in any act, contrivance or device not specially
provided for by this Act or any other law for the time being in force;
shall be punishable with fine which may extend to one thousand rupees.
69. Penalty for breach of rule relating to sale of stamps and for unauthorised sale. ––(a) Any
person appointed to sell stamps who disobeys any rule made under section 74; and
(b) any person not so appointed who sells or offers for sale any stamp (other than a 2 [ten naye
paise for five naye paise] adhesive stamp);
shall be punishable with imprisonment for a term which may extend to six months, or with fine
which may extend to five hundred rupees, or with both.
70. Institution and conduct of prosecutions.–– (1) No prosecution in respect of any offence
punishable under this Act or any Act hereby repealed, shall be instituted without the sanction of the
Collector or such other officer as 3 [the 4 [State Government]] generally, or the Collector specially,
authorizes in that behalf.
(2) The Chief Controlling Revenue-authority, or any officer generally or specially authorized by it in
this behalf, may stay any such prosecution or compound any such offence.
(3) The amount of any such composition shall be recoverable in the manner provided by section 48.

1 . Ins. by Act, 5 of 1927, s. 5.

2 . Subs. by Act 19 of 1958, s. 10, for “one anna or half an anna” (w.e.f. 1-10-1958).
3 . Subs. by the A.O. 1937, for “the L.G.”.
4 . Subs. by the A.O. 1950, for “collecting Government.”

39
 71. Jurisdiction of Magistrate. ––No Magistrate other than a Presidency Magistrate or a Magistrate
whose powers are not less than those of a Magistrate of the second class, shall try any offence under this
Act.
72. Place of trial. –– Every such offence committed in respect of any instrument may be tried in any
district or presidency-town in which such instrument is found, as well as in any district or presidency- town
in which such offence might be tried under the Code of Criminal Procedure for the time being in force.
CHAPTER VIII
SUPPLEMENTAL PROVISIONS
73. Books, etc., to be open to inspection. –– Every public officer having in his custody any registers,
books, records, papers, documents or proceedings, the inspection whereof may tend to secure any duty, or
to prove or lead to the discovery of any fraud or omission in relation to any duty, shall at all reasonable
times permit any person authorized in writing by the Collector to inspect for such purpose the registers,
books, papers, documents and proceedings, and to take such notes and extracts as he may deem necessary,
without fee or charge.
74. Powers to make rules relating to sale of stamps. –– The 1 [State Government] 2 *** may make
rules for regulating––
(a) the supply and sale of stamps an stamped papers,
(b) the persons by whom alone such sale is to be conducted, and
(c) the duties and remuneration of such persons:
Provided that such rules shall not restrict the sale of 3 [ten naye paise or five naya paise]
adhesive stamps.
75. Power to make rules generally to carry out Act. ––The 1 [State Government] may make rules to
carry out generally the purposes of this Act, and may by such rules prescribe the fines, which shall in no
case exceed five hundred rupees, to be incurred on breach thereof.
76. Publication of rules. –– 4 [(1) All rules made under this Act shall be published in the Official
Gazette.]
(2) All rules published as required by this section shall, upon such publication, have effect as if enacted
by this Act.
5 [(3) Every rule made by the State Government under this Act shall be laid, as soon as may be
after it is made, before the State Legislature.”.]
[76A. Delegation of certain powers . –– 7 [8 *** The State Government may, by notification in the
6

Official Gazette], delegate––

(a) all or any of the powers conferred on it by sections 2(9), 33(3), (b), 70(1), 74 and 78 to the
Chief Controlling Revenue-authority; and

1 . Subs. by the A.O. 1950, for “collecting Government”.

2 . The words “Subject to the Control of the G.G. in C” omitted by the A.O.1937.
3 . Subs. by Act 19 of 1958 s. 10, for “one anna or half an anna” (w.e.f. 1-10-1958).
4 . Subs. by the A.O. 1937, for sub-section (1).
5 . Ins. by Act 4 of 2005, s. 2 and the Sch.
6 . Ins. by Act 4 of 1914, s. 2 and the Sch. Pt. I.
7 . Subs. by the A.O. 1937, for “The Local Government May, by notification in the Local Official Gazette”.
8 . The words, figures and brackets “The Central Government Subject to the provision of section 124(1) of the
Government of India Act, 1935, and” omitted by the A.O. 1950.

40
 (b) all or any of the powers conferred on the Chief Controlling Revenue-authority by sections 45
(1), (2), 56 (1) and 70 (2) to such subordinate Revenue-authority as may be specified in the notification.]

77. Saving as to court-fees. ––Nothing in this Act contained shall be deemed to affect the duties
chargeable under any enactment for the time being in force relating to court-fee.
1 [77A. Saving asto certain stamps. ––All stamps in denominations of annas four or multiples
thereof shall be deemed to be stamps of the value of twenty-five naye paise or, as the case may be,
multiples thereof and shall, accordingly, be valid for all the purposes of this Act.]
78. Act to be translated, and sold cheaply. –– Every State Government shall make provision for the
sale of translations of this Act in the principal vernacular languages of the territories administered by it at
a price not exceeding 2 [twenty-five naye paise] per copy.
79. [Repealed.] Rep. by the Repealing and Amending Act, 1914 (10 of 1914) s. 3 and schedule II.

1 . Ins. by Act 19 of 1958, s. 11 (w.e.f. 1-10-1958).

2 . Subs. by s. 12, ibid., “four annas” (w.e.f. 1-10-1958).

41
 SCHEDULE 1
STAMP-DUTY ON I NSTRUMENTS
(See section 3)

Description of Instrument Proper Stamp-duty

1. ACKNOWLEDGMENT of a debt One anna

exceeding twenty rupees in amount or value, written
or signed by, or on behalf of, a debtor in order to
supply evidence of such debt in any book (other than
a banker's pass-book) or on a separate piece of paper
when such book or paper is left in the creditor's
possession: provided that such acknowledgment does
not contain any promise to pay the debt or any
stipulation to pay interest or to deliver any goods or
other property.
2. ADMINISTRATION-BOND, including a
bond given under section 256 of the Indian
Succession Act, 1865 (X of 1865), section 6 of the
Government Savings Banks Act, 1873 (V of 1873),
section 78 of the Probate and Administration Act,
1881 (V of 1881), or section 9 or section 10 of the
Succession Certificate Act, 1889 (VII of 1889) —

(a) where the amount does not exceed Rs. 1,000 The same duty as a Bond (No. 15) for such
amount.
(b) in any other case Five rupees.
3. ADOPTION-DEED, that is to say, any Ten rupees.
instrument (other than a will) recording an adoption
or conferring or purporting to confer an authority to
adopt.
ADVOCATE. See ENTRY AS AN ADVOCATE (No. 30).

4. AFFIDAVIT, including an affirmation or

declaration in the case of persons by law allowed to One rupee.
affirm or declare instead of swearing.

Exemptions
Affidavit or declaration in writing when made—
1 [(a) as a condition of enrolment under the 2 Indian

Army Act, 1911 (8 of 1911), 3 [or the 4 1ndian Air

force Act, 1932 (14 of 1932)];]
(b) for the immediate purpose of being filed or used
in any court or before the officer of any court; or
(c) for the sole purpose of enabling any person to
receive any pension or charitable allowance.

1 . Subs. by Act 18 of 1928, s. 2 and the First Sch., for cl. (a).
2 . See now the Army Act, 1950 (46 of 1950).
3 . Ins. by Act 14 of 1932, s. 130 and the Sch.
4 . See now the Air Force Act, 1950 (45 of 1950).
42
 Description of Instrument Proper Stamp-duty
1
[5. AGREEMENT OR Two annas.
MEMORANDUM OF AN
AGREEMENT— Subject to a maximum of ten rupees, one anna
(a) if relating to the sale of a bill of exchange;

(b) if relating to the sale of a Government security for every Rs. 10,000 or part thereof of the
or share in an incorporated company or other body value of the security or share.
corporate;

(c) if not otherwise provided for Eight annas.

Exemptions
Agreement or memorandum of agreement—
(a) for or relating to the sale of goods or
merchandise exclusively, not being a N OTE OR
MEMORANDUM chargeable under No. 43;
(b) made in the form of tenders to the Central
Government for or relating to any loan;
2* * * *
AGREEMENT TO LEASE. See LEASE (No. 35).
3
[6. AGREEMENT
RELATING TO DEPO- SIT OF
TITLE-DEEDS, PAWN OR
PLEDGE,
that is to say, any instrument evidencing
an agreement relating to —
(1) the deposit of title-deeds or instruments
constituting or being evidence of the title to any
property whatever (other than a marketable security);
or
(2) the pawn or pledge of movable property,
where such deposit, pawn or pledge has been made
by way of security for the repayment of money
advanced or to be advanced by way of loan or an
existing or future debt—
(a) if such loan or debt is repayable on demand
or more than three months from the date of the The same duty as a Bill of Exchange [No. 13
instrument evidencing the agreement; (b)] for the amount secured.
(b) if such loan or debt is repayable not more
Half the duty payable on a Bill of
than three months from the date of such instruments.
Exchange [No. 13 (b)] for the amount secured.
Exemption
Instrument of pawn or pledge of goods if
unattested.]

7. APPOINTMENT IN EXECUTION OF A Fifteen rupees

POWER, whether of trustees or of property,
movable or immovable, where made by any
writing not being a will.

43
1 . Subs. by Act 6 of 1910, s.3, for article 5.
2 . Clause (c) omitted by the A.O. 1950.
3 . Subs. by Act 15 of 1904, s. 8, for Art. 6.

44
 Description of Instrument Proper Stamp-duty
8. APPRAISEMENT OR VALUATION made
other wise than under an order of the Court in
the course of a suit—
(a) where the amount does not exceed Rs. 1,000; The same duty as a Bond (No. 15) for such
amount.

(b) in an other case……………………………. Five rupees.

Exemptions
(a) Appraisement or valuation made for the
information of one party only, and not being in any
manner obligatory between parties either by agreement or
operation of law.
(b) Appraisement of crops for the purpose of
ascertaining the amount to be given to a landlord as rent.
9. APPRENTICESHIP-DEED, including every
writing relating to the service or tuition of any apprentice, Five rupees.
clerk or servant, placed with any master to learn any
profession, trade or employment, not being ARTICLES
OF CLERKSHIP, (No. 11).

Exemption
Instruments of apprenticeship executed by a
Magistrate under the 1 Apprentices Act, 1850 (XIX
of 1850), or by which a person is apprenticed by or
at the charge of any public charity.
10. ARTICLES OF ASSOCIATION OF A
COMPANY. Twenty-five rupees.

Exemption
Articles of any Association not formed for
profit and registered under section 26 of the 2
Indian Companies Act, 1882 (VI of 1882).
See also MEMORANDUM OF ASSOCIATION OF A
COMPANY (No. 39).
11. ARTICLES OF CLERKSHIP or contract
Two hundred and fifty rupees.
where by any person first becomes bound to serve as
a clerk in order to his admission as an attorney in any
High Court.
ASSIGNMENT. See CONVEYANCE (No. 23;
TRANSFER (No. 62), and TRANSFER OF LEASE
(No. 63), as the case may be.
ATTORNEY. See ENTRY AS AN ATTORNEY
(No. 30) and POWER OF ATTORNEY (No. 48).
AUTHORITY TO ADOPT. See ADOPTION-DEED
(No. 3).

45
1 . See now the Apprentices Act, 1961 (52 of 1961).
2 . See now the Companies Act, 1956 (1 of 1956).

46
 Description of Instrument Proper Stamp-duty
12. AWARD, that is to say, any decision in
writing by an arbitrator or umpire, not being an
award directing a partition, on a reference made
otherwise than by an order of the Court in the
course of a suit—
(a) where the amount or value of the property to The same duty as a Bond (No. 15) for such
which the award relates as set forth in such award
does not exceed Rs. 1,000; amount.
(b) in any other case………………………… Five rupees
Exemption
Award under the 1 Bombay District
Municipal Act, 1873 (Born. Act VI of 1873),
section 81, or the Bombay Hereditary Offices
Act, 1874 (Born. Act (III of 1874), section 18.
2
[13. BILL OF EXCHANGE as defined by
s. 2(2), not being a Bond, bank-note or
currency- note—
(b) where payable otherwise than on demand—
(i) where payable not more than three months
after date or sight—
if the amount of the bill or note does
not exceed Rs. 500; Thirty
if it exceeds Rs. 500 but does not
exceed Rs. 1,000; paise.

Sixty

paise.

and for every additional Rs. 1,000 or part Sixty paise.

thereof in excess of Rs. 1,000;

(ii) where payable more than three months but

not more than six months after date or sight—
if the amount of the bill or note does Sixty paise.
not exceed Rs. 500;

if it exceeds Rs. 500 but does not if the amount of the bill or note does not
exceed Rs. 1,000; exceed Rs. 500;
and for every additional Rs. 1,000 or
part thereof in excess of Rs. 1,000;
(iii) where payable more than six months but
not more than nine months after date or sight—

47
One rupee twenty

paise. One rupee Ninety paise.

twenty paise.

1 . See now the Bombay District Municipal Act, 1901 (Bom. Act 3 of 1901).
2 . Subs. by notification No. S.O. 130(E), dated 28-1-2004, for articles 13 and 14.

48
 Description of Instrument Proper Stamp
duty if it exceeds Rs. 500 but does not exceed Rs. 1,000;One rupee
eighty paise.

and for every additional Rs. 1,000 or part One rupee eighty paise.
thereof in excess of Rs. 1,000;

(iv) where payable more than nine months but not

more than one year after date or sight—
if the amount of the bill or note does not One rupee twenty five paise.
exceed Rs. 500;
if it exceeds Rs. 500 but does not Two rupees fifty paise.
exceed Rs. 1,000;
and for every additional Rs. 1,000 or part Two rupees fifty paise.
thereof in excess of Rs. 1,000;
(c) where payable at more than one year after date or
sight—

if the amount of the bill or note does not exceed Rs. 500; Two rupees
fifty paise. if it exceeds Rs. 500 but does not exceed Rs. 1,000; Five
rupees.

and for every additional Rs. 1,000 or part Five rupees.

thereof in excess of Rs. 1,000;

14. BILL OF LADING (including a through bill of One rupee.

lading).
N.B.—If a bill of lading is
drawn in parts, the proper
stamp therefore must be
borne by each one of the
Exemptions set.]
(a) Bill of lading when the goods therein described are
received at a place within the limits of any port as defined
under the Indian Ports Act, 1889 (10 of 1889), and are to
be delivered at another place within the limits of the same
port.
(b) Bill of lading when executed out of India and
relating to property to be delivered in India.
15. BOND [as defined by section 2 (5)] not being a
DEBENTURE (No. 27) and not being otherwise provided for
by this Act, or by the Court-fees Act, 1870 (7 of 1870)—

where the amount or value secured does not exceed Rs. 10; Two

49
annas. where it exceeds Rs. 10 and does not exceed Rs. 50; Four

annas.

50
 Description of Instrument Proper Stamp duty

where it exceeds Rs. 50 and does not exceed Rs. 100 Eight
annas. where it exceeds Rs. 100 and does not exceed Rs. 200
One rupee.
where it exceeds Rs. 200 and does not exceed Rs. 300 One rupee eight
annas. where it exceeds Rs. 300 and does not exceed Rs. 400 Two
rupees.
where it exceeds Rs. 400 and does not exceed Rs. 500 Two rupees eight
annas. where it exceeds Rs. 500 and does not exceed Rs. 600 Three
rupees.
where it exceeds Rs. 600 and does not exceed Rs. 700 Three rupees eight
annas. where it exceeds Rs. 700 and does not exceed Rs. 800 Four rupees.
where it exceeds Rs. 800 and does not exceed Rs. 900 Four rupees eight annas.
where it exceeds Rs. 900 and does not exceed Rs. 1,100 Five rupees.
and for every Rs. 500 or part thereof in excess of Rs. 1,000 Two rupees eight annas.
See ADMINISTRATION BOND (No. 2) BOTTOMRY BOND (No.
16), CUSTOMS BOND (No. 26), INDEMNITY BOND (No. 34),
RESPONDENTIA BOND (No. 56), SECURITY BOND (No. 57).
Exemptions
Bond, when executed by—
(a) headmen nominated under rules framed in
accordance with the Bengal Irrigation Act, 1876 (Ben. Act III
of 1876), section 99, for the due performance of their duties
under that Act;
(b) any person for the purpose of guaranteeing that
the local income derived from private subscriptions to a
charitable dispensary or hospital or any other object of
public utility shall not be less than a specifed sum per
mensem.
16. BOTTOMRY BOND, that is to say, any instrument The same duty as a Bond
where by the master of a sea-going ship borrows money on the (No. 15) for the same
security of the ship to enable him to preserve the ship or
prosecute her voyage. amount.
17. CANCELLATION—Instrument of (including any
instrument by which any instrument previously executed is
cancelled), if attested and not otherwise provided for. Five rupees.
See also Release (No. 55), Revocation of Settlement (No.
58-B), Surrender of Lease (No. 61), Revocation of Trust
(No. 64-B).
18. CERTIFICATE OF SALE (in respect of each property
put up as a separate lot and sold) granted to the purchaser of any
property sold by public auction by a Civil or Revenue Court, or
Collector or other Revenue-officer—

(a) where the purchase-money does not exceed Rs. 10; Two annas.
(b) where the purchase-money exceeds Rs. 10 but Four annas.
does not exceed Rs. 25;

(c) in any other case The same duty as a

conveyance (No. 23) for
a consideration equal to
51
 the amount of the
purchase- money only.

52
 Description of Instrument Proper Stamp-duty
1
19. CERTIFICATE OR OTHER DOCUMENT evidencing the right or [Two anna].
title of the holder thereof, or any other person, either to any shares, scrip or
stock in or of any incorporated company or other body corporate, or to become
proprietor of shares, scrip or stock in or of any such company or body.

See also LETTER OF ALLOTMENT OF SHARES (No. 36).

20. CHARTER-PARTY, that is to say, any instrument (except One rupee.
agreement for the hire of a tug-steamer) whereby a vessel or some specified
principal part thereof is let for the specified purposes of the charterer, whether
it includes a penalty clause or not.

2
* * * * *

22. COMPOSITION-DEED, that is to say, any instrument executed by Ten rupees.

a debtor whereby he conveys his property for the benefit of his creditors, or
whereby payment of a composition or dividend on their debts is secured to the
creditors, or whereby provision is made for the continuance of the debtor's
business, under the supervision of inspectors or under letters of licence, for the
benefit of his creditors.
23. CONVEYANCE [as defined by section 2 (10)] not being a
Transfer charged or exempted under No. 62—
where the amount or value of the consideration for such Eight annas.
conveyance as set forth therein does not exceed Rs. 50:
where it exceeds Rs. 50 but does not exceed Rs. 100. One rupees.

Ditto 100 ditto 200 Two rupees.

Ditto 200 ditto 300 Three rupees.
Ditto 300 ditto 400 Four rupees.
Ditto 400 ditto 500 Five rupees.
Ditto 500 ditto 600 Six rupees.
Ditto 600 ditto 700 Seven rupees.
Ditto 700 ditto 800 Eight rupees.
Ditto 800 ditto 900 Nine rupees.
Ditto 900 ditto 1,000 Ten rupees.
and for every Rs. 500 or part thereof in excess of Rs. 1,000 Five rupees.
Exemption
3
[(a) Assignment of copyright by entry made under the 4Indian Copyright
Act, 1847 (20 of 1847) section 5.]
5[(b) for the purpose of this article, the portion of duty paid in respect of

a document falling under article No. 23A shall be excluded while computing
the duty payable in respect of a corresponding document relating to the
completion of the transaction in any Union territory under this article.]

CO-PARTNERSHIP -DEED. See Partnership (No. 46.)

5
[23A. CONVEYANCE IN THE NATURE OF PART Ninety per cent. of the duty as a
PERFORMANCE—Contracts for the transfer of immovable property in the Conveyance (No. 23)]
nature of part performance in any Union territory under section 53A of the
Transfer of Property Act, 1882 (4 of 1882).

1 . Subs. by Act 43 of 1923 s. 2, for “One anna”.

2 . Art. 21 omitted by Act 5 of 1927 s. 5.
3 . Certain words and figure numbered as clause (a) thereof by Act 48 of 2001, s. 11 (w.e.f. 24-9-2001).
4 . See. now the Copyright Act, 1957 (14 of 1957.)
53
5 . Ins. by Act 48 of 2001, s. 11 (w.e.f. 24-9-2001).

54
 Description of Instrument Proper Stamp-duty
24. COPY OR EXTRACT certified to be a true copy or
extract, by or by order of any public officer and not chargeable
under the law for the time being in force relating to court-fees—
(i) if the original was not chargeable with duty or if the duty Eight
with which it was chargeable does not exceed one rupee;
(ii) in any other case………………… annas. One
Exemptions
(a) Copy of any paper which a public officer is expressly rupee.
required by law to make or furnish for record in any public office
or for any public purpose.
1 [(b) Copy of, or extract from, any register relating to
births, baptisms, namings, dedications, marriages,
2 [divorces,] deaths or burials].

25. COUNTERPART OR DUPLICATE of any instrument

chargeable with duty and in respect of which the proper duty has
been paid,—
(a) if the duty with which the original instrument is
chargeable does not exceed one rupee;
(b) in any other case
Exemption The same duty as is payable on the
original.
Counterpart of any lease granted to a cultivator,
when such lease is exempted from duty. One rupee.
26. CUSTOMS BOND—
(a) where the amount does not exceed Rs. 1,000;

(b) in any other case ......................... The same duty as a Bond (No.
15) for such amount.
3 [27. DEBENTURE (whether a mortgage debenture or Five rupees.
not), being a marketable security transferable—

(a) by endorsement or by a separate instrument of transfer—

where the amount or value does not exceed Rs. 10: Ten paise.
where it exceeds Rs. 10 and does not exceed Rs. 50; Twenty paise.
Ditto 50 ditto 100; Thirty five paise.
Ditto 100 ditto 200; Seventy five paise.
Ditto 200 ditto 300; One rupee ten paise.

55
1 . Subs. by Act 5 of 1906, s. 7, for clauses (b) and (c).
2 . Ins. by Act 10 of 1914, s. 2 and the First Sch.
3 . Subs. by notification No. S.O. 130(E), dated 28-1-2004, for article 27.

56
 Description of Instrument Proper Stamp-duty
Ditto 300 ditto 400; One rupee fifty paise.
Ditto 400 ditto 500; One rupee eighty five paise.
Ditto 500 ditto 600; Two rupees twenty five paise
Ditto 600 ditto 700; Two rupees sixty paise.
Ditto 700 ditto 800; Three rupees.
Ditto 800 ditto 900; Three rupees forty paise.
Ditto 900 ditto 1,000; Three rupees seventy five paise.

and for every Rs. 500 or part thereof in excess of Rs. 1,000; One rupee eighty five paise.

(b) by delivery—
where the amount or value of the consideration for such debenture as Thirty five paise.
set forth therein does not exceed Rs. 50;
here it exceeds Rs. 50 but does not exceed Rs. 100 Seventy five paise.
Ditto 100 ditto 200 One rupee fifty paise.
Ditto 200 ditto 300 Two rupees twenty five paise.
Ditto 300 ditto 400 Three rupees.
Ditto 400 ditto 500 Three rupees seventy five paise.
Ditto 500 ditto 600 Four rupees fifty paise.
Ditto 600 ditto 700 Five rupees twenty five paise.
Ditto 700 ditto 800 Six rupees.
Ditto 800 ditto 900 Six rupees seventy five paise.
Ditto 900 ditto 1,000 Seven rupees fifty paise.
and for every Rs. 500 or part thereof in excess of Rs. 1,000. Three rupees seventy five paise. ]
Explanation.—The term “Debenture” includes any interest
coupons attached thereto but the amount of such coupons shall not be
included in estimating the duty.
Exemption
A debenture issued by an incorporated company or other body
corporate in terms of a registered mortgage-deed, duly stamped in
respect of the full amount of debentures to be issued thereunder, whereby
the company or body borrowing makes over, in whole or in part, their
property to trustees for the benefit of the debenture holders:
Provided that the debentures so issued are expressed to be issued
in terms of the said mortgage-deed.
See also BOND (NO. 15): and sections 8 and 55.
DECLATAION OF ANY TRUST. See TRUST (No. 64)
28. DELIVERY ORDER IN RESPECT OF GOODS, that is to One anna.
say, any instrument entitling any person therein named, or his assigns, or
the holder thereof, to the delivery of any goods lying in any dock or port,
or in any warehouse in which goods are stored or deposited on rent or
hire, or upon any wharf, such instrument being signed by or on behalf of
the owner of such goods, upon the sale or transfer of the property therein,
when such goods exceed in value twenty rupees.

57
 Description of Instrument Proper Stamp-duty
1
DEPOSIT OF TITLE-DEEDS [SEE AGREEMENT RELATING TO
DEPOSIT OF TITLE-DEEDS PAWN OR PLEDGE (NO. 6)].
DISSOLUTION OF PARTNERSHIP See PARTNERSHIP
(No. 46).
29. DIVORCE.—Instrument of, that is to say, any instrument One rupee.
by which any person effects the dissolution of his marriage.
DOWER—Instrument of See SETTLEMENT (No. 58).
DUPLICATE. See COUNTERPART (No. 25).
30. ENTRY AS AN ADVOCATE, VAKIL OR
ATTORNEY ON THE ROLL OF ANY HIGH COURT
2 [under the Indian Bar Councils Act, 1926 (38 of 1926)
or] in exercise of powers conferred on such court by
Letters patent or by the 3 Legal Practitioners Act, 1884 (9
of 1884)— Five hundred rupees.
(a) in the case of an Advocate or Vakil……….
Two hundred and fifty rupees.
(b) in the case of an Attorney……..
Exemption

entry of an advocate, vakil or attornery on the roll of

any High court when he has previously been enrolled in
a High Court.
4* * * * *
31. EXCHANGE OF PROPERTY.—Instrument of. The same duty as a Conveyance (No.
23) for a consideration equal to the
value of the property of greatest value
as set forth in such instrument.
EXTRACT. See Copy (No. 24).
32. FURTHER CHARGE.—Instrument of, that is to
say, any instrument imposing a further charge on mortgaged
property—
(a) when the original mortgage is one of the description
referred to in clause (a) of Article No. 40 (that is, with The same duty as a Conveyance (No.
possession); 23) for a consideration equal to the
amount of the further charge secured by
such instrument.
(b) when such mortgage is one of the description referred
to in clause (b) of Article No. 40 (that is, without possession)—
(i) if at the time of execution of the instrument of The same duty as a Conveyance (No.
further charge possession of the property is given or agreed 23) for a consideration equal to the total
to be given under such instrument;
amount of the charge (including the
original mortgage and any further
chage already made) less the duty
already paid on such original mortgage
and further charge.

1 . Subs. by Act 15 of 1904, s. 8, for “See Agreement by way of Equitable Mortgage (No. 6)”.
58
2 . Ins. by Act 38 of 1926, s. 19 and the Sch.
3 . Since repealed.
4 . The entry “EQUITABLE MORTGAGE” omitted by Act 15 of 1904, s. 8.

59
 Proper Stamp-duty
Description of Instrument
(ii) if possession is not so given The same duty as a Bond (No. 15) for
the amount of the further charge
secured by such instrument.
33. GIFT.—Instrument of, not being a SETTLEMENT The same duty as a Conveyance (No. 23) for a
(No. 58) or will or TRANSFER (No. 62) consideration equal to the value of the property,
as set forth in such instrument.

HIRING AGREEMENT or agreement for service.

SEE AGREEMENT No.5).

34. INDEMNITY-BOND The same duty as a Security Bond (No. 57) for
the same amount.
INSPECTORSHIP-DEED See COMPOSITION -DEED
(No. 22) INSURANCE. See POLICY OF INSURANCE (No. 47).

35. LEASE, including an under-lease or sub-lease and

any agreement to let or sub-let—

(a) whereby such lease the rent is fixed and no premium

is paid or delivered—

(i) where the lease purports to be for a term of less The same duty as a Bond (No.15) for the whole
than one year; amount payable or deliverable under such
lease.
(ii) where the lease. purports to be for a term of not The same duty as Bond (No. 15) for the amount
less than one year but not more than three years; or value of the average annual rent reserved.

The same duty as a Conveyance (No. 23) for a

consideration equal to the amount or value of
(iii) where the lease purports to be for a term in
the average annual rent reserved.
excess of three years;

The same duty as a Conveyance (No. 23) for a

(iv) where the lease does not purport to be for any consideration equal to the amount or value of the
average annual rent which would be paid or
definite term; delivered for the first ten years if the lease
continued so long.
The same duty as a Conveyance (No. 23) for a
consideration equal to one-fifth of the whole
(v) where the lease purports to be in perpetuity. amount of rents which would be paid or
delivered in respect the first fifty years of the
lease.

60
 Description of Instrument Proper Stamp-duty
(b) where the lease is granted for a fine or premium The same duty as a Conveyance (No. 23) for
or for money advanced and where no rent is reserved. a consideration equal to the amount or value
of such fine or premium or advance as set
forth in the lease.
(c) where the lease is granted for a fine or premium The same duty as a Conveyance (No. 23) for
or for money advanced in addition to rent reserved. a consideration equal to the amount or value
of such fine or premium or advance as set
forth in the lease, in addition to the duty
which would have been payable on such
lease if no fine or premium or advance had
been paid or delivered:
Provided that, in any case when an
agreement to lease is stamped with the ad
valorem stamp required for a lease, and a
lease in pursuance of such agreement is
subsequently executed, the duty on such
lease shall not exceed eight annas.
Exemptions

(a) Lease, executed in the case of a cultivator and for

the purposes of cultivation (including a lease of trees for
the production of food or drink) without the payment or
delivery of any fine or premium, when a definite term is
expressed and such term does not exceed one year, or when
the average annual rent reserved does not exceed one
hundred rupees.
1
* * * * *
36. LETTER OF ALLOTMENT OF SHARES 2
[Two annas],
in any company or proposed company, or in respect
of any loan to be raised by company any or proposed
company.
See also Certificate or other Document (No. 19)
3
[37. LETTER OF CREDIT, that is to say any One rupee.]
instrument by which one person authorizes another to
give credit to the person in whose favour it is drawn.
LETTER OF GUARANTEE, See AGREEMENT (No. 5).

38. LETTER OF LICENCE, that is to say, any

agreement between a debtor and his creditors that the Ten rupees.
letter shall, for a specified time, suspend their claims and
allow the debtor to carry on business at his own discretion.
39. MEMORANDUM OF ASSOCIATION OF A
COMPANY—
(a) if accompanied by articles of association under
section 37 of the 4 Indian Companies Act, 1882 (6 of
1882); Fifteen rupees.

(b) if not so accompanied Forty rupees.

1 . Exemption (b) omitted by the A.O. 1937.

2 . Subs. by Act 43 of 1923, s. 2, for “one anna”.
3 . Subs. by notification No. S.O.. 130 (E), dated 28-1-2004, for article 37.
4 . See now the Companies Act, 1956 (1 of 1956).

61
 Description of Instrument Proper Stamp-duty
Exemption
Memorandum of any association not formed for
profit and registered under section 26 of the 1 Indian
Com- panies Act, 1882 (6 of 1882).
40. MORTGAGE-DEED, not being 2 [an AGREEMENT
RELATING-TO DEPOSIT OF TITLE-DEEDS, PAWN OR
PLEDGE (NO. 6)], BOTTOMRY BOND (NO. 16),
MORTGAGE OF A CROP (NO. 41), RESPONDENTIA BOND
(No. 56), OR SECURITY BOND (NO. 57)—
(a) when possession of the property or any part The same duty as a Conveyance (No.
of the property comprised in such deed is given by 23) for a consideration equal to the
the mortgagor or agreed to be given; amount secured by such deed.
(b ) when 3 ***possession is not given or agreed The same duty as a Bond (No. 15)
to be given as aforesaid; for the amount secured by such
Explanation.—A mortgagor who gives to the deed.
mortgagee a power-of-attorney to collect rents or
a lease of the property mortgaged or part thereof,
is deemed to give possession within the meaning
of this Article.
(c) when a collateral or auxiliary or additional or
substituted security, or by way of further assurance
for the abovementioned purpose where the principal Eight annas.
or primary security is duly stamped—
for every sum secured not exceeding Rs.
1,000 and for every Rs. 1,000 or part thereof
secured in excess of Rs. 1,000. Eight annas.
Exemptions
(1) Instruments, executed by person taking
advances under the Land Improvement Loans Act, 1883
(XIX of 1883), or the Agriculturists' Loan Act, 1884 (XII
of 1884), or by their sureties as security for the repayment
of such advances.
(2) Letter of hypothecation accompanying a bill of exchange.
4
* * *
41. MORTGAGE OF A CROP, including any
instrument evidencing an agreement to secure the * *
repayment of a loan made upon any mortgage of a crop,
whether the crop is or is not in existence at the time of the
mortgage—
(a) when the loan is repayable not more than three
months from the date of the instrument—
for every sum secured not exceeding Rs. 200
and for every Rs. 200 or part thereof secured
in
One
anna.
One
anna.
excess of Rs. 200;

62
1 . See now the Companies Act, 1956 (1 of 1956).
2 . Subs. by Act 15 of 1904, s. 8, for “AN AGREEMENT TO M ORTGAGE (NO. 6)”.
3 . The words “At the time of execution” omitted by s. 8, ibid.
4 . Exemption (3) omitted by s. 8, ibid.

63
 Description of Instrument Proper Stamp-duty
(b ) when the loan is repayable more than three months, but
not more than 1 [eighteen months], from the date of the
instrument—

for every sum secured not exceeding Rs. 100 and for 2
[Two annas.]
every Rs. 100 or part thereof secured in excess of Rs. 2[Two annas]
100.
42. NOTARIAL ACT, that is to say, any instrument, One rupee.

endorsement, note, attestation, certificate or entry not being a

PROTEST (No. 50) made or signed by a Notary Public in the
execution of the duties of his office, or by any other person
lawfully acting as a Notary Public.
See also PROTEST OF BILL OR NOTE (No. 50).
3 [43 NOTE OR MEMORANDUM, sent by a Broker or

agent to his principal intimating the purchase or sale on account

of such principal—
(a ) of any goods exceeding in value twenty rupees; Two annas.
(b ) of any stock or marketable security exceeding in Subject to a maximum of ten rupees, one
value twenty rupees; anna for every Rs. 10,000 or part thereof
the value of the stock or security.]

44. NOTE OF PROTEST BY THE MASTER OF Eight annas.

A SHIP.
See also PROTEST BY THE M ASTER OF A SHIP (No. 51).
ORDER FOR THE PAYMENT OF MONEY.
See BILL OF EXCHANGE (No. 13).

45. PARTITION— Instrument of [as defined by The same duty as a Bond

s. 2 (15)] (No. 15) for the amount of the value of
the separated share or shares of the
property.
N.B.—The largest share remaining after
the property is partitioned (or, if there are
two or more shares of equal value and not
smaller than any of the other shares, then
one of such equal shares) shall be deemed
to be that from which the other shares are
separated:
Provided always that—
(a ) when an instrument of partition
containing an agreement to divide
property in severalty is executed and a
partition is effected in pursuance of
such agreement, the duty chargeable upon
the instrument effecting such partition
shall be reduced by the amount of duty
paid in respect of the first instrument, but
shall not be less than eight annas;

1 . Subs. by Act 5 of 1906, s. 7, for “one year”

2 . Subs. by Act 15 of 1904, s. 8, for “Four annas”.
3 . Subs. by Act 6 of 1910, s. 3, for article 43.

64
 Description of Instrument Proper Stamp-duty
(b ) where land is held on
revenue settlement for a period
not exceeding thirty years and
paying the full assessment, the
value for the purpose of duty
shall be calculated at not more
than five times the annual
revenue;
(c) where a final order for
effecting a partition passed by
any Revenue-authority or any
Civil-Court, or an award by an
arbitrator directing a partition, is
stamped with the stamp required
for an instrument of partition,
and an instrument of partition in
pursuance of such order or award
is subsequently executed, the
duty on such instrument shall not
exceed eight annas.
46. PARTNERSHIP—

A—INSTRUMENT OF —

(a) where the capital of the partnership does not Two rupees eight annas.
exceed Rs. 500;
(b ) in any other case…………………… Ten rupees.
B.—DISSOLUTION OF………………………… Five rupees.
1[PAWN OR PLEDGE. see AGREEMENT RELATING TO
DEPOSIT OF TITLE-DEEDS. PAWN OR PLEDGE (NO. 6).]

2[47. POLICY OF INSURANCE—

A.—SEA INSURANCE [ see section 7 of Indian Stamp Act, 1899 (2 If drawn If drawn in duplicate,
of 1899)] singly for each part
for or upon any voyage—
(i) where the premium or consideration does not Five paise. Five paise.
exceed the rate of one-eighth per centum of the amount
insured by the policy;

(ii) in any other case, in respect of every full sum of Five paise. Five paise.
one thousand five hundred rupees and also any fractional
part of one thousand five hundred rupees insured by the
policy;

1 . Ins. by Act 15 of 1904, s. 8.

65
2 . Subs. by notification No. S.O. 130(E), dated 28-1-2004, for article 47.

66
 Description of Instrument Proper Stamp-duty
(2) for time—
(iii) in respect of every full sum of one thousand
rupees and also any fractional part of one thousand
rupees insured by the policy—

where the insurance shall be made for any time Ten paise. Five paise.
not exceeding six months;

where the insurance shall be made for any time Ten paise. Five paise.
exceeding six months and not exceeding twelve
months.

B.—FIRE-INSURANCE AND OTHER CLASSES OF

INSURANCE, NOT ELSEWHERE INCLUDED IN THIS
ARTICLE, COVERING GOODS, MERCHANDISE,
PERSONAL EFFECTS, CROPS AND OTHER PROPERTY
AGAINST LOSS OR DAMAGE —
(1) in respect of an original policy—
(i) when the sum insured does not exceed Twenty five paise.
Rs. 5,000;

(ii) in any other case; and Fifty paise.

(2) in respect of each receipt for any payment of a One-half of duty payable in respect
premium on any renewal of an original policy.
of the original policy in addition to
the amount if any, chargeable
under No. 53.
C.—ACCIDENT AND SICKNESS
INSURANCE— Five paise.
(a) against railway accident, valid for a single
journey only.

Exemption
When issued to a passenger travelling by
the intermediate or the third class in any railway;

(b) in any other case—for the maximum amount Ten paise:

which may become payable in the case of any single
accident or sickness where such amount does not exceed
Rs. 1,000, and also where such amount exceeds Rs. Provided that, in case of a policy of
1,000, for every Rs. 1,000 or part thereof. insurance against death by accident
when the annual premium payable
does not exceed Rs. 2.50 per Rs.
1,000, the duty on such instrument
shall be five paise for every Rs.
1,000 or part thereof of the
maximum amount which
may become payable under it.

67
 Description of Instrument Proper Stamp-duty
CC.—INSURANCE BY WAY OF INDEMENITY Five paise.
against
liability to pay damages on account of accidents to
workmen employed by or under the insurer or against
liability to pay compensation under the Workmen's
Compensation Act, 1923 (8 of 1923), for every Rs. 100
or part thereof payable as premium.
If drawn singly If drawn in duplicate
D.—LIFE INSURANCE OR GROUP INSURANCE OR for each part.
OTHER INSURANCE NOT SPECIFICALLY PROVIDED
FOR, except such a RE-INSURANCE, as is described in
Division E of this article—
Ten paise. Five paise.
(i) for every sum insured not exceeding Rs. 250; Ten paise Five paise.
(ii) for every sum insured exceeding Rs. 250 but not
exceeding Rs. 500 ; Twenty paise . Ten paise.
(iii) for every sum insured exceeding Rs. 500 but not
exceeding Rs. 1,000 and also for every Rs. 1,000 or part thereof
in excess of Rs. 1,000.
N.B.—If a policy of group insurance
is renewed or otherwise modified
whereby the sum insured exceeds the
sum previously insured on which
stamp-duty has been paid, the proper
stamp must be borne on the excess
sum so insured.

Exemption
Polices of life-insurance granted by the Director-
General of Post Offices in accordance with rules for
Postal Life-Insurance issued under the authority of
the Central Government.

E. —RE-INSURANCE BY AN INSURANCE COMPANY, One-quarter of the duty payable in

which has granted a POLICY of the nature specified in respect of the original insurance but
Division A or Division B of this Article, with another
company by way of indemnity or guarantee against the not less than five paise or more than
payment on the original insurance of a certain part of the fifty paise:
sum insured thereby.
Provided that if the total amount of
duty payable is not a multiple of five
paise, the total amount shall be
rounded off to the next higher
multiple of five paise.

68
 Description of Instrument Proper Stamp-duty
General Exemption
Letter of cover or engagement to issue a policy
of insurance:
Provided that, unless such letter or
engagement bears the stamp prescribed by this
Act for such policy, nothing shall be claimable
thereunder, nor shall it be available for any
purpose, except to compel the delivery of the
policy therein mentioned.]
48. POWER-OF-ATTORNEY [as defined by
section 2(21)], not being a PROXY (No. 52),—
(a) when executed for the sole purpose of Eight annas.
procuring the registration of one or more documents
in relation to a single transaction or for admitting
execution of one or more such documents;
(b) when required in suits or proceedings under
the Presidency Small Cause Courts Act, 1882 (XV
of 1882); Eight
(c) when authorizing one person or more to act
in a single transaction other than the case mentioned
in clause (a); annas. One
(d) when authorizing not more than five persons
to act jointly and severally in more than one
transaction or generally; rupee. Five
(e) when authorizing more than five but not
more than ten persons to act jointly and severally in
more than one transaction or generally; rupees.
(f) when given for consideration and
authorizing the attorney to sell any immovable
property; Ten rupees.

The same duty as a Conveyance

(No. 23) for the amount of the
consideration.

(g) in any other case…………………… One rupees for each person

authorized.
N.B.—The term “registration”
includes every operation
incidental to registration under
the 1 Indian Registeration Act,
1877 (III of 1877).
Explanation.—For the purposes of this Article
more persons than one when belonging to the same
firm shall be deemed to be one person.
2
[49. PROMISSORY NOTE [as defined by
section 2(22)]
when payable on demand—
(i) when the amount or value does not exceed Five paise.
Rs. 250;

69
1 . See now the Indian Registration Act, 1908 (16 of 1908).
2 . Subs. by notification No. S.O. 130(E), dated 28-1-2004, for article 49.

70
 Description of Instrument Proper Stamp-duty
(ii) when the amount or value exceeds Rs. 250 Ten paise.
but does not exceed Rs. 1,000;

(iii) in any other case Fifteen paise.

(b) when payable otherwise than on demand. The same duty as a Bill of Exchange
(No. 13) for the same amount
payable otherwise than on demand.]

50. PROTEST OF BILL OR NOTE, that is to say, One rupee.

any declaration in writing made by a Notary Public, or other
person lawfully acting as such, attesting the dishonour of a
bill of exchange or promissory note.

51. PROTEST BY THE MASTER OF A SHIP, One rupee.

that is to say, any declaration of the particulars of
her voyage drawn up by him with a view to the
adjustment of losses or the calculation of averages,
and every declaration in writing made by him
against the characterers or the consignees for not
loading or unloading the ship, when such
declaration is attested or certified by a Notary
Publicor other person lawfully acting as such,
See also NOTE OF PROTEST BY THE MASTER OF A SHIP (No. 44).
1 [52. PROXY empowering any person to vote at Fifteen paise.]
any one election of the members of a district or local
board or of a body of municipal commissioners, or
at any one meeting of (a) members of an
incorporated company or other body corporate whose
stock or funds is or are divided into shares and
transferable, (b) a local authority, or (c) proprietors,
members or contributors to the funds of any
institution. 3 [One rupee]
53. RECEIPT [as defined by section 2(23)] for any
money or other property the amount or value of which
exceeds 2 [five thousand rupees.]
Exemptions

Receipt—
(a) endorsed on or contained in any instrument
duly stamped 3 [or any instrument exempted] under
the proviso to section 3 (instruments executed on
behalf of the Government) 4 [or any cheque or bill of
exchange payable on demand] acknowledging the
receipt of the consideration-money therein expressed,
or the receipt of any principal-money, interest or
annuity, or other periodical payment thereby secured;
(b) for any payment of money without
consideration;

71
1 . Subs. by notification No. S.O. 130 (E), dated 28-1-2004, for article 52.
2 . Subs. by Act 23 of 2004, s. 117, for “five hundred rupees”.
3 . Subs. by Act 18 of 1928, s. 2 and the First Sch., for “or exempted”.
4 . Ins. by s. 2 and the First Sch., ibid.

72
 Description of Instrument Proper Stamp-duty
(c) for any payment of rent by a cultivator on
account of land assessed to Government revenue, or
1 [in
the States of Madras, Bombay and Andhra] 2 [as
they existed immediately before the 1st
November, 1956] of inam lands;

(d) for pay or allowances by non-commissioned 3[or petty],

officers, 4 [soldiers, 3 [sailors] or airmen] of 5 [ 6 [the Indian]
military, 3 [naval] or air forces], when serving in such capacity,
or by mounted police-constables;

(e) given by holders of family-certificates in cases where

the person from whose pay or allowances the sum comprised
in the receipt has been assigned is a non-commissioned 3[or
petty] officers 4 [soldier, 3 [sailor] or airmen] of 7 [any of the
said forces], and serving in such capacity;

(f) for pensions or allowances by persons receiving

such pensions or allowances in respect of their service as
such non-commissioned 3 [or petty] officer, 4 [soldiers,
3
[sailors] or airmen] and not serving the Government in
any other capacity;

(g) given by a headman or lambardar for land-

revenue or taxes collected by him;

(h) given for money or securities for money

deposited in the hands of any banker, to be accounted for:

Provided that the same is not expressed to be

received of, or by the hands of, any other than the
person to whom the same is to be accounted for:

Provided also that this exemption shall not extend

to a receipt or acknowledgment for any sum paid or
deposited for or upon a letter of allotment of a share,
or in respect of a call upon any script or share of, or
in, any incorporated company or other body
corporate or such proposed or intended company or
body or in respect of a debenture being a marketable
security.

1 . Subs. by the Andhra (Adaptation of Law on Union Subjects) Order, 1954, for “In the Presidencies of Fort
St. George and Bombay” (w.e.f. 1-10-1953).
2 . Ins. by the Adaptation of Laws (No. 2) Order, 1956.
3 . Ins. by Act 35 of 1934, s. 2 and the Sch.
4 . Subs. by Act 10 of 1927, s. 2 and the First Sch., for “or soldiers”.
5 . Subs. by s. 2 and the First Sch., ibid., for “Her Majesty’s Army or Her Majesty’s Indian Army”.
6 . Subs. by the A.O. 1950, for “His Majesty’s”.
7 . Subs. by s. 2, and the First Sch., ibid., for “either of the said Armies”.

73
 Description of Instrument Proper Stamp-duty
1 [S EE ALSO POLICY OF INSURANCE [NO. 47-B (2).]

54. RECONVEYANCE OF MORTGAGED

PROPERTY—
(a) if the consideration for which the property was The same duty as a conveyance (No. 23)
mortgaged does not exceed Rs. 1,000; for the amount of such consideration as set
forth in the Reconveyance.

(b) in any other case; Ten Rupees.

55. RELEASE, that is to say, any instruments 2 [(not

being such a release as is provided for by section 23A)]

whereby a person renounces a claim upon another person
or against any specified property—
(a) if the amount or value of the claim does not The same duty as a Bond (No. 15) for such
exceed Rs. 1,000; amount or value as set forth in the Release.
(b) in any other case……………………. Five rupees.
56. RESPONDENTIA BOND, that is to say, any The same duty as a Bond (No. 15) for the
instrument securing a loan on the cargo laden or to be laden amount of the loan secured.
on board a ship and making repayment contingent on the
arrival of the cargo at the port of destination.
REVOCATION OF ANY TRUST OR SETTLEMENT.
See SETTLEMENT (No. 58); TRUST(No. 64)

57. SECURITY BOND OR MORTGAGE-DEED,

executed by way of security for the due execution of an
office, or to account for money or other property received
by virtue thereof or executed by a surety to secure the due
performance of a contract,—
(a) when the amount secured does not exceed The same duty as a Bond (No. 15) for the
Rs. 1,000; amount secured.

(b) in any other case…………………………….. Five rupees.

Exemptions
Bond or other instrument, when executed—
(a ) by headmen nominated under rules framed in
accordance with the Bengal Irrigation Act, 1876 (Ben.
Act III of 1876), section 99, for the due performance of
their duties under that Act;
(b ) by any person for the purpose of guaranteeing that
the local income derived from private subscriptions to a
charitable dispensary or hospital or any other object of
public utility shall not be less than a specified sum
per mensem;

1 . Ins. by Act 5 of 1906, s. 7.

2 . Ins. by Act 15 of 1904, s. 8.

74
 Description of Instrument Proper Stamp-duty
(c ) under No. 3A of the rules made by the 1 [ State
Government] under section 70 of the Bombay Irrigation
Act, 1879) (Bom. Act V of 1879);
(d ) executed by persons taking advances under the
Land Improvement Loans Act, 1883 (XIX of 1883), or the
Agriculturists’ Loan Act, 1884 (XII of 1884), or by their
sureties, as security for the repayment of such advances;
(e ) executed by officers of 2 [the 3 [Government]] or
their sureties to secure the due execution of an office or the
due accounting for money or other property received by
virtue thereof.
58. SETTLEMENT—

A. —I NSTRUMENT OF, (including a deed of dower). The same duty as a Bond (No. 15) for a sum
equal to the amount or value of the property
settled as set forth in such settlement:

Provided that, where an agreement to settle

is stamped with the stamp required for an
instrument of settlement, and an instrument
of settlement in pursuance of such
agreement is subsequently executed, the
duty on such instrument shall not exceed
eight annas.
Exemptions

(a) Deed of dower executed on the occasion of a

marriage between Muhammadans.
4
* * * * *
B. — REVOCATION OF— The same duty as a Bond (No. 15) for a
sum equal to the amount or value of the
property concerned as set forth in the
Instrument of Revocation but not
exceeding ten rupees.

See also TRUST (No. 64).

59. SHARE WARRANTS to bearer issued under 6 [One and a half times] the duty
the 5 Indian Companies Act, 1882 (VI of 1882). payable on a Conveyance (No.
23) for a consideration equal to
the nominal amount of the shares
specified in the warrant.

1 . Subs. by the A.O. 1937, for “Governor of Bombay in Council”.

2 . Subs. ibid., for “Government”.
3 . Subs. by the A.O. 1950, for “Corwn”.
4 . Exemption (b) omitted by the A.O. 1937.
5 . See now the Companies Act, 1956 (1 of 1956).
6 . Subs. by Act 6 of 1910, s. 3, for “Three-quarters of”.
75
 Description of Instrument Proper Stamp-duty
Exemptions
Share warrant when issued by a company in
pursuance of the 1 Indian Companies Act, 1882 (VI of
1882), section 30, to have effect only upon payment,
as composition for that duty, to the Collector or Stamp-
revenue, of—
(a) 2 [one and a half] per centum of the whole
subscribed capital of the company, or
(b) if any company which has paid the said duty or
composition in full, subsequently issues an Addition to
its subscribed capital— 2 [one and a half] per centum of
the additional capital so issued.
SCRIP, See CERTIFICATE (No. 19).
60. SHIPPING ORDER for or relating to the One anna.
conveyance of goods on board of any vessel

61. SURRENDER OF LEASE—

(a) when the duty with which the lease is The duty with which such lease is
chargeable does not exceed five rupees; chargeable.

(b) in any other case………………….. Five rupees.

Exemptions
Surrender of lease, when such lease is exempted from
duty.
3
[62. TRANSFER (whether with or without
consideration)—
(a) of shares in an incorporated company or Twenty five paise for every hundred
other body corporate; rupees or part thereof of the value of the
share:
Provided that rates of stamp duty specified in column (2) on Bills of Exchange for items (b) and (c)
in Article 13 and on promissory note for item (b) of Article 49 shall not apply to usance bills of
exchange or promissory notes drawn or made for securing finance from Reserve Bank of India,
Industrial Finance Corporation of India, Industrial Development Bank of India, State Financial
Corporations, Commercial Banks and Cooperative Banks for (a) bona fide commercial or trade
transactions, (b) seasonal agricultural operations or the marketing of crops, or (c) production or
marketing activities of cottage and small scale industries and such instruments shall bear the rate of
stamp duty at one-fifth of the rate mentioned against items (b) and (c) in Article 13 and item (b) in
Article 49 of Schedule I of the Indian Stamp Act, 1899 (2 of 1899).
Explanation 1.— For the purposes of the proviso—
(a) the expression “agricultural operations” includes animal husbandry and allied activities
jointly undertaken with agricultural operation;
(b) “crops” include products of agricultural operations;
(c) the expression “marketing of crops” includes the processing of crops prior to marketing by
agricultural producers or any organization of such producers.
Explanation 2.— The duty chargeable shall, wherever necessary, be rounded off to the next five
paise.]
4
(b) of debentures, being marketable securities, [One-half] of the duty payable on a
whether the debenture is liable to duty or not, except conveyance (No. 23) for a consideration
debentures provided for by section 8; equal to the face amount of the debenture.

1 . See now the Companies Act, 1956 (1 of 1956).

2 . Subs. by Act 6 of 1910, s. 3, for “three-quarters of”.
3 . Subs. by notification No. S.O. 130(E), dated 28-1-2004, for article 62.
4 . Subs. by Act 6 of 1910, s. 3, for “One-quarter”.
76
 Description of Instrument Proper Stamp-duty
(c) of any interest secured by a bond, mortgage-deed or
policy of insurance,—
(i) if the duty on such bond, mortgage-deed or The duty with which such bond,
policy does not exceed five rupees. mortgage-deed or policy of insurance is
chargeable.
(ii) in any other case……………….. Five rupees.
(d) of any property under the 1 Administrator Ten rupees.
General’s Act, 1874 (2 of 1874), section 3 I ;
(e) of any trust-property without consideration from Five rupees or such smaller amount as
one trustee to another trustee or from a trustee to a may be chargeable under clauses (a) to
beneficiary. (c) of this Article.
Exemptions
Transfers by endorsement—
(a) of a bill of exchange, cheque or promissory
note;
(b) of a bill of lading, delivery order, warrant for
goods, or other mercantile document of title to goods;
(c) of a policy of insurance;
(d) of securities of the Central Government. See
also section 8.
63. TRANSFER OF LEASE by way or
assignment and not by way of under-lease. The same duty as a Conveyance (No. 23)
for a consideration equal to the amount of
Exemption the consideration for the transfer.
Transfers of any lease exempt from duty.
64. TRUST—
A. — DECLARATION OF—of, or concerning, any
property when made by any writing not being a WILL. The same duty as a Bond (No. 15) for a
sum equal to the amount or value of the
property concerned as set forth in the
instrument but not exceeding fifteen
rupees.
B. — REVOCATION OF—of, or concerning, any
property when made by any instrument other than a The same duty as a Bond (No. 15) for a
WILL. sum equal to the amount or value of the
property concerned as set forth in the
instrument but not exceeding ten rupees.
See also SETTLEMENT (No. 58).

VALUATION, See APPRAISEMENT (No. 8).

VAKIL, See ENTRY AS A VAKIL (No. 30).
65. WARRANT FOR GOODS, that is to say, Four annas.
any instrument evidencing the title of any person
therein named, or his assigns, or the holder thereof,
to the property in any goods lying in or upon any
dock, warehouse or wharf, such instrument being
signed or certified by or on behalf of the person in

77
 whose custody such goods may be.

SCHEDULE II.— [Enactments repealed.] Rep. by the Repealing and Amending Act, 1914 (10 of 1914),
s. 3 and the Second Schedule.

1. See now the Administrator General’s Act, 1963 (45 of 1963).

Add: 284 3 rd Floor, Radhika Heights, MP Nagar Zone-II Bhopal (MP) – 462011 | Mob. 9691073595 | Email: [email protected]