whether stamp duty is required to be paid again when the new share certificates are issued consequent to split of shares or when the new share certificates are issued at the request of shareholder due to torn condition ??
pl answer mentioning the rule / regulation applicable to it.
Yes, in every case of new certificate, it must be properly stamped. And presently the Stamp Duty is Re.1/- per 1,000/- (including premium).
Yes stamp duty is to be paid again and is Re. 1 per Rs. 1000/- including premium
Friends,
Sorry I disagree. Stamp duty on a share certificate is to be paid only once. No need for stamping when new share certificates are issued after spliting the original one. Merely spliting the share certificates does not attract stamp duty. While issuing new share certificate you need to comply with Companies (Issue of Share Certificates) Rules.
Regards
Malav Shah
Yes, malav is right. To the extent possible, old/original stamped certificates to be cancelled and preserved
Suresh
Cs, LL.m
Hi All,
I also agree with Mr.Malav there is no sense of paying the Stamp duty on the Shares Second time for which the Duty has already been paid at the time of the issue of the original Certificate.
I dont think that the share certificates can be issued without stamp. I am totally disagree.
In my opinion stamp duty is required to be paid.
Dear Neha,
Every share certificate should bear a revenue stamp of Re. 1 and a common seal engraved on it. Any time the share certificate is splitted or in case of consolidation of share certificates each such share certificate must bear a revenue stamp of Re. 1 and common seal engraved on it. And signed by 2 directors and a auth. signatory/ company secretary if there is one. No share certificate is valid without it.
Regards,
Purna Salian, ACS
Dear Neha and Kamal,
Clear provisions are quoted above in the reply of Purna Mam. And in every case the certificate is to be issued whether it is duplicate, split or whatsoever it required to be affixed a revenue spamp of Re.1/- in case the value of certificate is upto Rs. 1,000/-.
Hi Neha,
There is no need for paying stamp duty on splitting of shares. I hv practically done while consolidation of shares.
Best regards,
Meenu
Dear Meenu,
It is quite clear that the revenue stamp must be affixed on every share certificates.
law is silent on this issue. Therefore, it is on the decision of the BOD to pay oe avoid the expenses of Stamp Duty.
Best Regards,
Meenu
Whether stamp duty is required to be paid on issue of share certificate if duty is paid on authorized capital at the time of incorporation of company & at what rate.
CAclubindia
