Go AD-FREE with CAclubindia PRO. Use Code: CADAY10. Subscribe Now!

Stamp duty on issue of share certificate

A K Singh (Service (Legal)) (59 Points)

26 May 2008

Dear Frns,

Our registered office is in delhi but our corporate office and factory is in Haryana.All Directors, CEO other working staff are based only at factory in Haryana.Board meetings and decesion, issue of order are only from Haryana office.

For issue of share certificate board meeting is also held in Gurgaon Haryana.

Can we we stamp duty on share certificate as per Haryana stamp act OR it is required to be paid as per Delhi act.

Please refer case law, book or section in support, if any.

Its URGENT

REgards

A Singh

Reply
Follow
Share

26 Replies

Neha Amol Limaye (Company Secretary) (52 Points)
Replied 27 May 2008

You have to pay stamp duty as per the state law in which company's registered office is situated. Place where board meetings are held, etc are not relevant in this case. e.g. if registered office is situated in Delhi and board meeting are held in maharashtra or out of India, stamp duty as per Delhi Laws will be applicable.

Neha Amol Limaye (Company Secretary) (52 Points)
Replied 27 May 2008

A K Singh (Service (Legal)) (59 Points)
Replied 28 May 2008

thanks for reply.Kindly give some reference, case or section in which this thing is mentioned for the subject.Its urgent.

poonam verma (Company Secretary) (191 Points)
Replied 30 May 2008

I think u can held the Board meetings in Haryana and than u r required to pay duty acc. to state in which Board meeting is held. I am doing the same. Stamp duty on share cert. in Haryana is Re. 1 irrespective of value of share certificate.

Thanks,

Poonam

Mohit Garg (CS) (178 Points)
Replied 02 June 2008

Hello Dear

I also agrees with Poonam comment, she is right.

U r holding ur Board Meetings in Haryana and surely directors are signing the same in Haryana so the place of issuing the certf. is situated in Haryana, so u have to pay stamp duty as per haryana law.

Mohit Garg (CS) (178 Points)
Replied 02 June 2008

Hello Dear

I also agrees with Poonam comment, she is right.

A K Singh (Service (Legal)) (59 Points)
Replied 04 June 2008

thanks to all for valuable inputs.

One more query for u.

1. Is this compulsory to get share certificate stamped with SDM office.

2. Or we can also use physical stamp, and affix on plain paper as amount is quiet high (lacs).

3. Whether adhseive stamp or REVENUE STAMP can be sued.

Regards

poonam verma (Company Secretary) (191 Points)
Replied 05 June 2008

if u are paying duty on share cer. of back date than u r required to pay duty by using adhensive revenue stamps only . fix the stamps on legal size paper. and in case u wants to pay duty on cer. issued on the current date than u can pay duty and get it stamped in tis hazadri court.

regards

A K Singh (Service (Legal)) (59 Points)
Replied 11 June 2008

Thanks dear

Ravi Mediratta (DGM (F )and CS) (20 Points)
Replied 17 July 2008

Will Stamp duty on new issue of share certificate on the change of name of shareholder will also be paid by the company.

(Guest)

what was the stamp duty on issue of share certificates in 1998,2001,2002,2006,2008 and what wll be the penalty if suppose we are going to pay all such stamp duty in 2008 on such all above allotments.

(Guest)

Originally posted by :Guest
"	Will Stamp duty on new issue of share certificate on the change of name of shareholder will also be paid by the company.	"

no further stamp duty is to be paid because u can issue duplicate share certificate with the name change in shareholder register