Stamp duty and registration fees for gifting of equity share

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This query is : Resolved

Tapan Kumar (Querist)

18 February 2016 Dear Professionals,

Please inform me the rate of stamp duty and registration fees for gifting of around 4.cr shares of a private company to his grand son.
is the normal rate of .25% is applicable, please let me know the total amount of duty and registration fees.
Thanks in advance..

CS Divesh Goyal

CS Divesh Goyal (Expert)

28 February 2016 Duty will be .25% on marker value of shares.

Tapan Kumar

Tapan Kumar (Querist)

20 May 2016 Dear Divesh,
its a gift for no consideration in between blood relative. Please suggest regarding the stamp duty. I think its not applicable

Aashok Kumar Sharma online

Aashok Kumar Sharma

(Expert)

25 July 2025 Hey! Regarding **stamp duty and registration fees on gifting equity shares** (especially to a blood relative like a grandson), here’s the general position:

### Stamp Duty on Gift of Shares:

* Stamp duty on transfer of shares varies **state-wise** but generally is **0.25% on the market value** of shares.
* However, **gift transfers between specified blood relatives** (like grandson, son, daughter, spouse, parents, etc.) are often **exempted or charged at a concessional rate** depending on the **state Stamp Act**.
* Some states **exempt stamp duty for gift deeds executed between close relatives** under specified conditions.
* Registration fees may or may not apply depending on whether the gift deed is registered (usually not mandatory for shares, but advisable for evidence).

### Important Notes:

* Since it’s a **gift (no consideration)**, stamp duty may be **waived or reduced** for blood relatives in many states.
* The **exact exemption and rate depends on the state** where the shares are registered or where the gift deed is executed.
* You should check the **Stamp Act of that specific state** (e.g., Maharashtra, Delhi, Karnataka) for precise rates/exemptions.

### What you can do:

* Verify if your state provides exemption for gift deeds between blood relatives.
* Calculate 0.25% on the market value as a baseline.
* Consult local stamp duty rules or a local legal expert to confirm exemption.

If you want, I can help find the specific state's stamp duty rules for gifting shares. Which state is the company registered in?

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