Increase in autorised capital
This query is : Resolved
CA Shruti Bhavsar
(Querist)
21 March 2013
In case of Private Limited company, for increasing Authorized Share capital, do we need to pay any stamp duty??
If yes how much we need to pay?
in case we want to increase the Authorized capital for last year, is there any provision that we can issue it on back date also??
Shruti Shah
Call: 9176261525
If yes how much we need to pay?
in case we want to increase the Authorized capital for last year, is there any provision that we can issue it on back date also??
Shruti Shah
Call: 9176261525
CS Ankur Srivastava
(Expert)
21 March 2013
In case of private or public company, applicable stamp duty is to be paid electronically.
However in case of Delhi Note: The Hon'ble High Court of Delhi at New Delhi has held in the matter of S E Investments
Limited Vs Union of India and Others [W.P. (c) 2393/2010 and CM Appl.4794/2011] that there is
no provision in the Delhi Stamp Act for payment of stamp duty on "increased authorised capital" .
Payment of stamp duty for increase of authorised capital being paid with filing of eForm No.5
with respect to State of National Capital Territory of Delhi is made optional.
However in case of Delhi Note: The Hon'ble High Court of Delhi at New Delhi has held in the matter of S E Investments
Limited Vs Union of India and Others [W.P. (c) 2393/2010 and CM Appl.4794/2011] that there is
no provision in the Delhi Stamp Act for payment of stamp duty on "increased authorised capital" .
Payment of stamp duty for increase of authorised capital being paid with filing of eForm No.5
with respect to State of National Capital Territory of Delhi is made optional.
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Sumit Grover
(Expert)
21 March 2013
Yes... please open the following link
https://www.mca.gov.in/MCA21/dca/efiling/eStamp_rate.pdf
https://www.mca.gov.in/MCA21/dca/efiling/eStamp_rate.pdf
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Ajay Mishra
(Expert)
21 March 2013
Dear Professional Friends,
The Ministry of Corporate Affairs vide its Notification.No .F.14(15)/LA-2011/Cons2law/110 Dated 23.07.2012, amended Schedule IA of Indian Stamp Act, 1899 (2 of 1899) as in force in the National Capital Territory of Delhi. Article 10 for clauses (a) and (b) of Schedule IA of Indian Stamp Act, 1899 has been substituted as:-
10. ARTICLE OF ASSOCIATION OF A COMPANY
Description of Instrument
Proper Stamp Duty
(a) When the Authorised Share Capital of the Company does not exceed Rs. One Lakh
(0.15% of the Authorised Share Capital)
(b) In other cases;
(0.15% of the Authorised Share Capital with a monetary ceiling of Rs. 25 Lakh)
(c) When the Authorised Share Capital is increased
(0.15% of the increase in Authorised Share Capital with a monetary ceiling of Rs. 25 lakhs)
Therefore, it is hereby informed you that stamp duty on increased Authorised Share Capital are not optional in the National Capital Territory of Delhi and we have to pay Stamp Duty on increased authorized share capital at the rate of 0.15% of the increase Authorised Share Capital but with a monetary ceiling of Rs. 25 Lakhs.
Moreover, Registrar of Companies, Delhi & Haryana should take necessary steps to amend Form 5 for Change in Authorised Share Capital to remove the option of optional payment of stamp duty in Form 5.
The Ministry of Corporate Affairs vide its Notification.No .F.14(15)/LA-2011/Cons2law/110 Dated 23.07.2012, amended Schedule IA of Indian Stamp Act, 1899 (2 of 1899) as in force in the National Capital Territory of Delhi. Article 10 for clauses (a) and (b) of Schedule IA of Indian Stamp Act, 1899 has been substituted as:-
10. ARTICLE OF ASSOCIATION OF A COMPANY
Description of Instrument
Proper Stamp Duty
(a) When the Authorised Share Capital of the Company does not exceed Rs. One Lakh
(0.15% of the Authorised Share Capital)
(b) In other cases;
(0.15% of the Authorised Share Capital with a monetary ceiling of Rs. 25 Lakh)
(c) When the Authorised Share Capital is increased
(0.15% of the increase in Authorised Share Capital with a monetary ceiling of Rs. 25 lakhs)
Therefore, it is hereby informed you that stamp duty on increased Authorised Share Capital are not optional in the National Capital Territory of Delhi and we have to pay Stamp Duty on increased authorized share capital at the rate of 0.15% of the increase Authorised Share Capital but with a monetary ceiling of Rs. 25 Lakhs.
Moreover, Registrar of Companies, Delhi & Haryana should take necessary steps to amend Form 5 for Change in Authorised Share Capital to remove the option of optional payment of stamp duty in Form 5.
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Ajay Mishra
(Expert)
21 March 2013
If you required i will provide the same notification.
So Stamp duty is required to be paid.
So Stamp duty is required to be paid.
CS Ankur Srivastava
(Expert)
21 March 2013
Ajay ji,
Please provide such notification.
Please provide such notification.
Ajay Mishra
(Expert)
21 March 2013
Dear Ankur.....please give id.
CA Shruti Bhavsar
(Querist)
21 March 2013
Dear Mr. Mishra,
Thanks for useful info.
pls fwd notification on :
cashrutishah17@gmail.com
Regards
Shruti
Thanks for useful info.
pls fwd notification on :
cashrutishah17@gmail.com
Regards
Shruti
Message likes :
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CS Ankur Srivastava
(Expert)
21 March 2013
ankursrivastava_5985@yahoo.co.in
Dear Ajay ji,
aap apna contact no bhi mail kr dijiyega ab to aapka contact details rakhni hi paregi...
Dear Ajay ji,
aap apna contact no bhi mail kr dijiyega ab to aapka contact details rakhni hi paregi...
CA Ayush Agarwal
(Expert)
21 March 2013
very nominal fees is there.
In Tamilnadu, NIL amount of stamp duty is payable.
Link Provided by sumit contains every thing.
In Tamilnadu, NIL amount of stamp duty is payable.
Link Provided by sumit contains every thing.
Ajay Mishra
(Expert)
21 March 2013
I think, you both got the same.
Dear Ankur.....I know, u have lots of question for me.
Dear Ankur.....I know, u have lots of question for me.
CS Ankur Srivastava
(Expert)
21 March 2013
Exactly... half have been answered...
Hope for a good and complete discussion and details about steps taken...
to satisfy all of us....
Hope for a good and complete discussion and details about steps taken...
to satisfy all of us....
Jiten Gupta
(Expert)
10 December 2013
Ajay Ji,
Could you pls share the aforementioned notification at jitencs7@gmail.com
Could you pls share the aforementioned notification at jitencs7@gmail.com
Ajay Mishra
(Expert)
10 December 2013
Dear Jiten.....
Hope u got the same.
Hope u got the same.
Jiten Gupta
(Expert)
10 December 2013
No i didn't Get Ajay Ji..
Send the PDF file of notification.
Send the PDF file of notification.
Ajay Mishra
(Expert)
10 December 2013
PDF file is not available.
Jiten Gupta
(Expert)
28 July 2014
https://www.mca.gov.in/MCA21/faq_estamp1.html
What is the current status as faqs available on MCA still says, it is optional to pay Stamp Duty of Increase in Authorised Share Capital.
What is the current status as faqs available on MCA still says, it is optional to pay Stamp Duty of Increase in Authorised Share Capital.
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