Amount of stamp duty on share transfer of unlisted company
This query is : Resolved
24 March 2021
if the value of consideration of one share transfer of Rs. 150 (consideration amount), then what amount of stamp duty needs to be paid on such one share transfer
12 July 2024
In India, the stamp duty payable on share transfer depends on the state where the transfer takes place, as stamp duty rates vary across states. The calculation typically considers the higher of the consideration amount or the market value of the shares.
Assuming the consideration amount for the transfer of one share is Rs. 150, here’s how you can determine the stamp duty payable:
1. **Consideration Amount**: Rs. 150 (if this is the higher of the consideration amount or market value)
2. **Stamp Duty Rate**: This varies by state. For example:
- In Maharashtra, the stamp duty rate on share transfers is 0.25% of the consideration amount or market value (whichever is higher).
- In Delhi, the stamp duty rate is 0.015% of the consideration amount or market value (whichever is higher).
3. **Calculation**:
- Calculate the stamp duty based on the rate applicable in your state. For instance:
- If the stamp duty rate is 0.25% and the consideration amount is Rs. 150:
- Stamp Duty = 0.25% of Rs. 150
- Stamp Duty = Rs. 0.375 (but generally, stamp duty is rounded off to the nearest rupee).
- If the stamp duty rate is 0.015% and the consideration amount is Rs. 150:
- Stamp Duty = 0.015% of Rs. 150
- Stamp Duty = Rs. 0.0225 (rounded off to the nearest rupee).
4. **Minimum Stamp Duty**: Some states have a minimum stamp duty amount that needs to be paid, irrespective of the consideration amount. Check your state's regulations for this information.
5. **Payment and Compliance**: Stamp duty is typically paid through e-stamping or by purchasing stamp papers, depending on the state’s rules. Ensure you comply with the state-specific requirements for stamp duty payment and documentation.
To get the exact stamp duty amount for the transfer of one share at a consideration of Rs. 150, refer to the specific stamp duty rates applicable in your state or consult with a local chartered accountant or legal advisor familiar with state-specific stamp duty regulations.
Assuming the consideration amount for the transfer of one share is Rs. 150, here’s how you can determine the stamp duty payable:
1. **Consideration Amount**: Rs. 150 (if this is the higher of the consideration amount or market value)
2. **Stamp Duty Rate**: This varies by state. For example:
- In Maharashtra, the stamp duty rate on share transfers is 0.25% of the consideration amount or market value (whichever is higher).
- In Delhi, the stamp duty rate is 0.015% of the consideration amount or market value (whichever is higher).
3. **Calculation**:
- Calculate the stamp duty based on the rate applicable in your state. For instance:
- If the stamp duty rate is 0.25% and the consideration amount is Rs. 150:
- Stamp Duty = 0.25% of Rs. 150
- Stamp Duty = Rs. 0.375 (but generally, stamp duty is rounded off to the nearest rupee).
- If the stamp duty rate is 0.015% and the consideration amount is Rs. 150:
- Stamp Duty = 0.015% of Rs. 150
- Stamp Duty = Rs. 0.0225 (rounded off to the nearest rupee).
4. **Minimum Stamp Duty**: Some states have a minimum stamp duty amount that needs to be paid, irrespective of the consideration amount. Check your state's regulations for this information.
5. **Payment and Compliance**: Stamp duty is typically paid through e-stamping or by purchasing stamp papers, depending on the state’s rules. Ensure you comply with the state-specific requirements for stamp duty payment and documentation.
To get the exact stamp duty amount for the transfer of one share at a consideration of Rs. 150, refer to the specific stamp duty rates applicable in your state or consult with a local chartered accountant or legal advisor familiar with state-specific stamp duty regulations.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS 194-T applicability
- Fixe term employment
- Is any professional CA is here please reply
- GST ITC REVERSE
- Putting a heading on received mail
- Section 50-fixed asset-->building ceases to exist
- Consolidated financials
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Regarding Applicability of Tax Audit u/s 44AB
- TDS on TRUST
- Tds on commission charges
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
