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Power of Attorney stamp duty

Peeush Bajpai (Director) (34 Points)

30 June 2009

I am in the process of incorporating my company in Bangalore and need to give Power of Attorney to a friend of mine for completing the physical filing of incorporation documents (MOA, AOA etc) with the ROC. As such, I need to pay the stamp duty and get the e-stamp for POA.

My question is: in whose name should I pay the stamp duty for POA? should it be in the name of the company that I am incorporating of should it be in the name of the person signing the POA?

At the moment, I have the POA stamp duty paid in the name of the company that I am incorporating - not sure if this will be acceptable to the ROC?

Many thanks in advance for your guidance!

Thanks

Peeush

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12 Replies

praveen (Chartered Accountant) (6971 Points)
Replied 30 June 2009

i dont think that is acceptable as one cannot make any actions on behalf of the company which is not yet incorporated.

Vaibhav Shukla (Company Secretary) (142 Points)
Replied 30 June 2009

Dear Peeush,

Since the Company is not incorporated and has no legal entity thus the stamp paper cannot be purchased in the name of such company thus the stamp paper of the POA should be in the name of the POA holder.

Further, Form 1 which shall be filed, should bear optional attachment of such scanned POA as well as the form can be digitally signed by such attorney

CASE: POA stamp duty paid in the name of the company shall not be acceptable by the ROC

Hetal Mehta (Company Secretary Management Trainee) (25 Points)
Replied 30 June 2009

Originally posted by :Peeush Bajpai
"	Hi I am in the process of incorporating my company in Bangalore and need to give Power of Attorney to a friend of mine for completing the physical filing of incorporation documents (MOA, AOA etc) with the ROC. As such, I need to pay the stamp duty and get the e-stamp for POA. My question is: in whose name should I pay the stamp duty for POA? should it be in the name of the company that I am incorporating of should it be in the name of the person signing the POA? At the moment, I have the POA stamp duty paid in the name of the company that I am incorporating - not sure if this will be acceptable to the ROC? Many thanks in advance for your guidance! Thanks Peeush	"

PoA (properly stamped) should be purchased in the name of any subscribers to MoA & cannot be taken in the name of proposed name of the company since it is still not incorporated.

P C Agrawal (Registered independent director Past Chairman of Aurangabad Chapter of ICSI Practicing Company Secretary at Aurangabad) (8229 Points)
Replied 30 June 2009

If the number of subscribers is more and practically it is difficult to include names of all of them, can we purchase the stamp paper in the name of say "XYZ Ltd (under incorporation)"?

Peeush Bajpai (Director) (34 Points)
Replied 30 June 2009

Many thanks for your help, Praveen, Vaibhab and Hetal - I'll pay fresh stamp duty for the POA in the name of the the person giving the POA i.e. one of the subscribers (in this instance, it'll be myself).

I have paid the stamp duty for MOA, AOA and Form I as well in the name of the company (which is being incorporated)- is that ok or do you think even for these documents (MOA, AOA and Form I), I need to pay the stamp duty in the name of one of the subscribers?

Thanks

Peeush

J. Manivannan (Advocate & IP) (242 Points)
Replied 30 June 2009

As per chennai RoC instructed to us,

Stamp Duty in respect of Incorporation should be buy in the name of any one promoter.(AOA, MOA and POA also) .

CS Ankur Srivastava (Company Secretary & Compliance Officer) (17848 Points)
Replied 01 July 2009

Fully agreed with the view of Mr. Hetal

Stamps should be purchased in the name of One of the Promoter or Subscriber to MOA.

Peeush Bajpai (Director) (34 Points)
Replied 01 July 2009

Many thanks Manivannan and Ankur; looks like I have paid all the stamp duties incorrect and will need to either get them amended or pay it again.

Not sure if this rule is very strict or is it worth checking with ROC Bangalore to see if they may allow the stamp duty paid in the name of the company being incorporated? Also, now that no documents are "physically" stamped, does it matter if the documents are signed before the date when new stamp duty is paid?

Thanks

Peeush

CS Ankur Srivastava (Company Secretary & Compliance Officer) (17848 Points)
Replied 01 July 2009

Stamp duty must be paid before or at the time of execution of documents.

Peeush Bajpai (Director) (34 Points)
Replied 06 July 2009

Thanks for your help Ankur.

I think I can close the topic now with one last question - I am assuming that stamp duty for all documents (MOA, AOA, POA, Form 1) needs to be paid in favour of ROC - is that correct?

Thanks

Peeush

RAHUL (Company secretary ) (226 Points)
Replied 09 July 2009

DEAR FRIEND

According the law Company is not incorporated and has no legal entity so the stamp paper cannot be purchased in the name of such company thus the stamp paper of the POA should be in the name of the POA holder. but generally if stamp paper purchased in the name of proposed company no problem is created if you want any more help pl. contact me on my e.mail. nitinagarwal113 @ gmail.com

regard

CS NITIN