Stamp duty payable
Chhaya Soni
(Querist) 29 October 2010
This query is : Resolved
Respected Experts,
The company entered into MoU with Partnership Firm to develop, construct and sell the constructed units, and also executed PoA in favour of Partnership firm authorising to sell the units, whether stamp duty is payable on such power, also
Whether such stamp duty is reducible when the units are sold to prospective purchasers, please advice.
Kirti Kar Tripathi
(Expert) 29 October 2010
Yes, Stamp duty is payable and same can not be reduced.
Chhaya Soni
(Querist) 29 October 2010
Thank you for your prompt reply, need to ask further whether there is any way out to save on double payment of stamp duty, i would appreciate if u can reply
R.Ramachandran
(Expert) 29 October 2010
Dear Mr. Rohit, what do you mean by Double payment of Stamp duty? Can you elaborate?
Chhaya Soni
(Querist) 29 October 2010
The fact that the company and partnership enters into MoU to construct and sell the property and power to PArtnership is just to sell and not to possess or occupy the property. The actual occupier of property will be purchaser and not the partnership, so why the stamp duty is payable on both, or it should get deductible.
Devajyoti Barman
(Expert) 29 October 2010
No such POA does not attract any stamp duty at least in West Bengal.
R.Ramachandran
(Expert) 29 October 2010
Dear Mr. Rohit,
Please find attached the Extract of Schedule-I to the Indian Stamp Act, wherein the rate of stamp duty payable on Memorandum of Understanding and POA etc., have been given. Since the respective State Governments have power to fix the stamp duty, you may have to check up the current rate in the State in which you are going to execute the MOU / POA.
The change in rate of stamp duty, if at all would be very nominal. But in any case the attached file will give you a rough idea.
Sri Vijayan.A
(Expert) 04 November 2010
For POA and sale deed, registration and stamp duty is applicable
