Modes Of Payment Of Stamp Duty In India<!- author name and link for post -->
Stamp Duty can be bought and paid for in India in the following ways:
1. Non-Judicial Stamp Paper
Traditional stamp paper or non-judicial stamp paper is used for sale deeds, transfer of immovable property, affidavits, agreements, deeds, wills, etc. for executing the said documents in States across India. Stamp paper can be purchased by visiting and purchasing stamp paper from any licensed stamp vendor. You can also buy eStamp or traditional stamp papers online with LegalDesk.com.
e-Stamp paper has become the most widely used method of payment of stamp duty in India because it is more convenient, tamper-proof, easier and faster to purchase and use e-stamp paper online as compared to the traditional or any other method. Each State Government that uses e-Stamping has extended this facility to most (if not all) districts and taluka headquarters at the office of the Sub-Registrar. Non-judicial e-Stamp paper is generated within minutes, information can be filled accurately, verification can be done at anytime and place. e-stamping services allow you to pay stamp duty remotely and avail of the e-stamping certificate online.
Franking is the process of impressing (instead of stamping) a particular type of deed or document with a red mark (which includes the postage amount) through automated franking machines authorized by a Government. The Special Superintendent of Stamps for each State can grant private or public institutions, banks, credit agencies, etc. the use of special adhesive stamp franking license to meet demand or for convenience. The officer franks the document in the machine after the requisite stamp duty is paid, generally in cash.
4. Notary Stamps
Notary stamps are stamps executed by a notary. Before executing an affidavit, power of attorney or any other such document, the said document has to be notarized and attested before a notary appointed by the State or Central Government or the deed can be notarized by the Executive Magistrate by placing a notary stamp on it.
5. Revenue Stamps
Revenue stamps are used to record transactions when there is a monetary or financial exchange. A revenue Stamp is used as a receipt for the payment of money. It is an adhesive stamp used to collect taxes on documents, licences, drugs, firearms, tobacco, etc.
6. Agreement Stamps
Certain agreements that require registration need to be stamped with an agreement stamp. For marriage registration, it is important to pay the duty on agreement stamps as determined by the Government. Stamp duty should also be paid for registering a partnership agreement.
7. Insurance Stamps
Insurance stamps are used by Insurance departments to authenticate and verify insurance policies. Insurance stamps are also referred to as Insurance Revenue stamps, being a form of revenue stamp.
8. Hundi Paper
Hundis are financial instruments used in credit and trade transactions. Hundi papers are pre-printed revenue stamps on paper. Prior to independence, hundi papers were the norm to be used when dealing with bills of exchange, promissory notes or IOU’s. Now special adhesive stamps are being used to replace Hundi papers.
9. Court Fees Stamps
Court fees have to be paid on judicial stamp paper for court proceedings. Court fee stamps are used by the public to correspond with a department of the Government such as the RTO Office, Passport Issuing Authority, Revenue Department, Police, etc.
10. Judicial Stamps
Judicial stamps are impressed court fee stamps that are used for transactions with the judiciary. These payments are made with respect to dues, fines and duty transactions in civil and criminal courts in India. Stamp Duty paid in lieu of Judicial stamp paper is paid under the Court Fees Act of 1870 and Stamp Duty paid in lieu of Non-Judicial stamp paper is paid under The Indian Stamp Act of 1899.
GRAS (Government Receipts Accounts System) is a system dedicated to generating revenue online from the various departments of the Government. GRAS can be used to pay stamp duty, VAT, CST, penalties, etc by generating an e-challan. Registration fees can be paid online as well through debit, credit, net banking, UPI, etc.
Stamp Duty For The States
|Sr. No||State||Non-Judicial Stamp Paper||Franking||e-Stamping||Notary Stamps||Revenue Stamps||Agreement Stamps||Hundi Paper||Judicial Stamp Paper||Adhesive Stamps|
|1||Gujarat||Rs: 5 – 25000||Rs: 1 – 5000||Above Rs 1000||Rs: 5 Only||Under Rs: 1||Rs: 10 and 100||Rs. 1 – 10||Rs: 50 – 25000|
|2||Karnataka||Rs: 1 – 25,000||Upto Rs 999||Rs 1000 and above||Under Rs: 1||Rs 25 – 25,000||Rs. 0.05 – 5,000|
|3||Odisha||Less than Rs 1000||0.2/article||Above Rs 1000||Under Rs: 1|
|4||Punjab||Less than Rs 1000||Above Rs 1000||Under Rs: 1|
|5||Tamil Nadu||Rs. 10-25,000||Rs. 375||Above 5000||Rs 1- Rs 5000|
|6.||Andhra||Up to Rs. 100|
If you are associated with a business involving frequent stamp duty payment in some way, then you might be interested in using our Stamp Duty API.