Stamp duty-Interesting query
Unnikrishnan
(Querist) 27 June 2009
This query is : Resolved
Dear Members,
I understand that when an agreement/document is executed outside India for which the stamp duty needs to be paid as per Indian Law, the stamp duty in respect of that document is paid after the document comes to India. In the aforesaid cases, the buying of stamp paper as a method of stamp duty is not adopted.
In this regard, I would like to have your valued views/opinion as to the following:
Does the Indian Stamp Act or any of the State Stamp Laws prohibit taking out of stamp paper outside India?
Is there any prohibition providing that agreement executed outside India cannot be on a stamp paper bought before the date of execution?
Thanking you in advance.
Warm Regards,
CS Unnikrishnan Venugopalan
A V Vishal
(Expert) 27 June 2009
Dear CS Unnikrishnan
There is no bar on taking the stamp paper out of the country, but for the simple logical reason that stamp duty is a state revenue and is not acceptable in other countries(Foreign) as per the prevalent rules existing in those countries. Similarly, if the agreement is executed outside the country then the stamp duty as per the country where it is executed is applicable, how come an agreement for example executed in USA be registered in India, even though such stamp paper is brought before the date of execution, moreover jurisdictional disputes will arise in such agreements.
PALNITKAR V.V.
(Expert) 27 June 2009
The stamp duty can be paid afterwards also. There is no prohibition if the stamped paper is taken out of india and a deed or document is executed there. It can be registered in India. There is specific procedure provided in the Registration Act.
Y V Vishweshwar Rao
(Expert) 04 July 2009
A Document executed out side india has to be placed before the District Registrar concerned - where it is to be used and after Certification by DRO that the Document is proerly stamped , then only th document to be used !
Before using the Document & immidietly after receiving in india it must be Certified by the Stamp Authorities that the same is properly Stamped as per Indian Stamp Act !
The Document can be executed on plain paper !
