MAHARASHTRA STAMP ACT
(1) This Act may be called 2[the Maharashtra Stamp Act].
(2) It extends to the whole of the 1[State of Maharashtra].
(3) It shall come into force on such date as the State Government may, by notification in the Official Gazette, direct.
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1. Substituted for the words "State of Bombay" by the Maharashtra Adaptation of Laws (State and Concurrent Subjects) Order, 1960.
2. Substituted by the Maharashtra (Change of Short Titles of Certain Bombay Acts) Act, 2011 (Mah. Act No. 24 of 2012) and shall be deemed to have been amended w.e.f. 1st May, 1960, for the following:- "The Bombay Stamp Act, 1958"
In this Act, unless there is anything repugnant in the subject or context,--
(a) "association" means any association, exchange, organisation or body of individuals, whether incorporated or not, established for the purpose of regulating and controlling business of the sale or purchase of, or other transaction relating to, any goods or marketable securities;
28[(aa) "Additional Controller of Stamps, Mumbai" means the officer or officers so designated by the State Government and includes any other officer whom the State Government may, by notification in the Official Gazette, appoint in this behalf ;]
1[(b) "banker" means an association, a company or a person who accepts, for the purpose of lending or investment, deposits of money from the public, repayable on demand or otherwise and withdrawable
Section 2 of the Maharashtra Stamp Act, 1958, provides the definitions crucial for interpreting the provisions of the Act. It lays down the key terms used throughout the legislation, which are essential for understanding the scope, applicability, and enforcement of stamp duties on various instruments. Precise definitions help in determining what documents are chargeable, how they should be stamped, and the legal implications of non-compliance.
Section 2 of the Maharashtra Stamp Act, 1958, contains the definitions of important terms such as "instrument," "chargeable," "duly stamped," and "conveyance." These definitions are inclusive and specify the scope of documents covered under the Act. For example:- "Instrument" includes every document by which rights or liabilities are created, transferred, extinguished, or recorded, excluding specific categories like bills of exchange, cheques, promissory notes, etc. [Source: "Chhatrapati Sambhaji Maharaj Sahakari Patsanstha Maryadit VS Assistant Registrar of Co-operative Societies"]- "Chargeable" refers to instruments that are liable to stamp duty as per the Act, whether executed within or outside the State, depending on the circumstances [Source: "Freedom City Ventures VS State of Maharashtra Through Department of Registration & Stamps"].- "Duly stamped" indicates that the instrument bears the proper stamp of the required amount, affixed in accordance with law [Source: "ITC Ltd. . and another VS State of Maharashtra and others"].- "Conveyance" includes sale, transfer, or order of transfer of immovable property, including certain orders under the Companies Act [Source: "Shankar Patilba Satpute VS State of Maharashtra, Through the Secretary, Revenue and Forest Department"].
The essential ingredients of the definitions in Section 2 include:- Clear identification of documents that fall within the scope of "instrument."- The requirement that instruments must be properly stamped to be admissible as evidence or enforceable.- The inclusion of various types of documents, such as decrees, orders, agreements, and orders under statutory laws, as "conveyances" or "instruments."- The stipulation that instruments executed outside the State are chargeable if they relate to property or matters within Maharashtra [Source: "Abhijeet Ashoka Infra Structure Pvt. Limited VS Joint District Registrar (Class-I) and The Collector of Stamps"].
Section 2's scope is comprehensive, covering:- All documents creating or transferring rights or liabilities in immovable property, including sale deeds, agreements, and orders [Source: "Shankar Patilba Satpute VS State of Maharashtra, Through the Secretary, Revenue and Forest Department"].- Instruments executed outside Maharashtra but relating to property or matters within the State [Source: "Abhijeet Ashoka Infra Structure Pvt. Limited VS Joint District Registrar (Class-I) and The Collector of Stamps"].- Electronic records, as per amendments integrating IT-based documents [Source: ""].- Orders of courts and statutory authorities, such as those under the Companies Act, which are deemed conveyances [Source: "Ruby Sales And Services Private LTD. VS State Of Maharashtra"].- Exclusions like bills of exchange, cheques, promissory notes, and receipts unless specifically included [Source: "Chhatrapati Sambhaji Maharaj Sahakari Patsanstha Maryadit VS Assistant Registrar of Co-operative Societies"].
The Maharashtra Stamp Act prescribes penalties for executing or transmitting instruments without proper stamp duty:- Penalties can include rigorous imprisonment for up to 6 months and fines up to ₹5,000 for executing unstamped or insufficiently stamped instruments [Source: ""].- The Act also empowers authorities to impound documents that are inadequately stamped and initiate proceedings for recovery of the deficit duty along with penalties [Source: "Abhijeet Ashoka Infra Structure Pvt. Limited VS Joint District Registrar (Class-I) and The Collector of Stamps"].- Penalties for contravention are also reinforced by provisions for criminal prosecution under the Act [Source: ""].
In summary, Section 2 of the Maharashtra Stamp Act, 1958, provides the foundational definitions that determine the scope, applicability, and enforcement of stamp duties on various legal instruments. Proper compliance with these definitions is essential for the validity, admissibility, and enforceability of documents, with penalties clearly prescribed for violations. The evolving amendments reflect the Act's adaptation to modern legal and technological developments, ensuring continued revenue protection and legal clarity.
Note: All references are based on the provided sources and summarized for clarity.
Subject to the provisions of this Act and the exemptions contained in Schedule I, the following instruments shall be chargeable with duty of the amount indicated in Schedule I as the proper duty therefor respectively, that is to say--
(a) every instrument mentioned in Schedule I, which not having been previously executed by any person, is executed in the State on or after the date of commencement of this Act;
(b) every instrument mentioned in Schedule I, which not having been previously executed by any person, is executed out of the State on or after the said date, relates to any property situate, or to any matter or thing done or to be done in this State and is received in this State:
1[Provided that a copy or extract, whether certified to be a true copy or not and whether a fascimile image o
Section 3 of the Maharashtra Stamp Act, 1958, is a fundamental provision that delineates the scope of instruments subject to stamp duty within the state of Maharashtra. It establishes the criteria for determining which documents are chargeable with duty, thereby forming the basis for the levy of stamp duty on various legal instruments.
Section 3 specifies that, subject to the provisions of the Act and exemptions in Schedule I, certain instruments are liable to pay stamp duty. It categorizes instruments based on their place of execution and whether they are received or related to property or acts within Maharashtra. The section distinguishes between instruments executed within the state and those executed outside but relating to matters in Maharashtra, including those received in the state.
Section 3 broadly covers:- Instruments executed within Maharashtra.- Instruments executed outside Maharashtra but relating to property or acts within the state.- Instruments received in Maharashtra.- It excludes certain instruments like bills of exchange, cheques, and promissory notes explicitly mentioned in the latter part of the definition.
While Section 3 itself does not prescribe punishment, non-compliance or evasion of stamp duty can lead to penalties under the broader provisions of the Maharashtra Stamp Act, including fines, penalties, and criminal prosecution for wilful neglect or fraud.
Note: The references are based on the provided sources, formatted as per instructions, and summarized to highlight key legal points regarding Section 3 of the Maharashtra Stamp Act, 1958.
4. Several Instruments used in single transaction of 1 [development agreement] sale, 4[lease,] mortgage or settlement.--
(1) Where, in the case of any 1 [(development agreement)] 4[lease,] sale, 4[lease,] mortgage or settlement, several instruments are employed for completing the transaction, the principal instrument only shall be chargeable with the duty prescribed in Schedule I for the conveyance, 1[(development agreement)] 4[lease,] mortgage or settlement, and each of the other instruments shall be chargeable with a duty of 2 [one hundred rupees] instead of the duty (if any) prescribed for it in that Schedule.
(2) The parties may determine for themselves which of the instruments so employed shall, for the purposes of sub-section (1), be deemed to be the principal instrument.
3 [(3) If the
Any instrument comprising or relating to several distinct matters shall be chargeable with the aggregate amount of the duties with which separate instruments, each comprising or relating to one of such matters, would be chargeable under this Act.
Subject to the provisions of section 5, an instrument so framed as to come within two or more of the descriptions in Schedule I shall, where the duties chargeable thereunder are different, be chargeable only with the highest of such duties:
Provided that nothing in this Act contained shall render chargeable with duty exceeding 1[one hundred rupees] a counterpart or duplicate of any instrument chargeable with duty and in respect of which the proper duty has been paid.
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1. These words were Substituted for the words "ten rupees" by the Maharashtra 5 of 2010 (w.e.f. 12.04.2010).
1[( 3) The provisions of this Act and the rules made thereunder, in so far as they relate to the recovery of duties chargeable on instruments under section 3 shall, so far as may be, apply to the recovery of duties chargeable on a counterpart, duplicate or a copy of an instrument under sub-section ( 1).]
1[two per centum] on the total amount of such bonds or securities issued by it, and such bonds or securities need not be stamped, and shall not be chargeable with any further duty on renewal, consolidation, sub-division or otherwise.
( 2) The provisions of sub-section ( 1) exempting certain bonds or securities from being stamped and from being chargeable with certain further duty shall apply to the bonds or securities other than debentures of all outstanding loans of the kind mentioned therein, and all such bonds or securities shall be v
( 1 ) Notwithstanding anything in this Act, any local authority raising a loan under the provisions of the Local Authorities Loans Act, 1914, or of any other law for the time being in force, by the issue of bonds or securities other than debentures shall, in respect of such loan, be chargeable with a duty of1[two per centum] on the total amount of such bonds or securities issued by it, and such bonds or securities need not be stamped, and shall not be chargeable with any further duty on renewal, consolidation, sub-division or otherwise.
( 2) The provisions of sub-section ( 1) exempting certain bonds or securities from being stamped and from being chargeable with certain further duty shall apply to the bonds or securities other than debentures of all outstanding loans of the kind mentioned therein, and all such bonds or securities shall be valid, whether the same are stamped or not.
The State Government1[,if satisfied that it is necessary to do so in the public interest,] may, by rule or order published in the Official Gazette,--
(a) reduce or remit, whether prospectively or retrospectively, in the whole or any part of the State the duties with which any instruments or any particular class of instruments or any of the instruments belonging to such class, or any instruments when executed by or in favour of any particular class of persons, or by or in favour of any members of such class, are chargeable, and
(b) provide for the composition or consolidation of duties in the case of issues by any incorporated company or other body corporate of bonds or marketable securities other than debentures.
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1 . These word
(1) Except as otherwise expressly provided in this Act, all duties with which any instruments are chargeable shall be paid and such payment shall be indicated on such instrument, by means of stamps,--
(a) according to the provisions herein contained; or
(b) when no such provision is applicable thereto, as the State Government may, by rules, direct.
(2) The rules made under sub-section (1) may, among other matters, regulate,--
(a) in the case of each kind of instrument, the description of stamps which may be used;
(b) in the case of instruments stamped with impressed stamps, the number of stamps which may be used.
1[(2-1A) From the date of coming into force of t
1[ 10 A. Duties to be paid in cash, by demand dr aft or by pay ord er by Government controlled bodies, Insurance Companies and Banks
Notwithstanding anything contained in section 10, the State Government may, by notification in the Official Gazette, direct that, in case of the bodies owned or controlled by the State or Central Government, Insurance Companies and Nationalised Banks, the duty may be paid by their Head Office or Regional Office or Zonal Office by way of cash, or by demand draft or by pay order, in any Government Treasury or sub-Treasury or General Stamp Office, Mumbai and the proper officer, not below the rank of Branch Manager, so notified by the Chief Controlling Revenue Authority, shall make an endorsement on the instrument as follows,--
"Stamp duty of Rs. . . . . . . . . . . . paid in cash or by demand draft or by pay o
1[10B. Stock exchange etc., to deduct stamp duty from trading member's account.--
Notwithstanding anything contained in this Act, in case of transactions through stock exchange or an association as defined in clause (a) of section 2 of the Forward Contracts (Regulation) Act, 1952, the stock exchange or, as the case may be, an association, shall collect the clue stamp duty by deducting the same from the trading member's account at the time of settlement of such transactions. The stamp duty so collected shall be transferred to the Government Treasury, Sub-Treasury or General Stamp Office in the manner specified by the Chief Controlling Revenue Authority.
Explanation. -- For the purposes of this section, "stock exchange" means the stock exchange as defined in clause (j) of section 2 of the Securities Contract (Regulation) Act, 1956.
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1[Notwithstanding anything contained in section 10, in case of the notary appointed under the Notaries Act, 1952 (53 of 1952), for the whole or any part of the State of Maharashtra, the duty payable for performing the functions entrusted to him under any law for the time being in force, may be paid by him way of cash, or by demand draft or by pay order, in any Government Treasury or Sub-Treasury or General Stamp Office, Mumbai and the notary shall make an endorsement on the instrument as follows, namely :-
"Stamp Duty of Rs. ..................... paid 2in cash / by demand draft / by pay order, vide 2Receipt / Challan No. ................... dated the ................................., in 2Government Treasury / Sub-Treasury office at .................... / the General Stamp Office, Mumbai.
S
The Maharashtra Stamp Act, 1958, governs the payment of stamp duties on various instruments executed within the state of Maharashtra. Section 10(c) specifically addresses the modalities of payment for stamp duties, ensuring compliance and facilitating the collection of revenue.
Section 10(c) mandates that stamp duties must be paid in cash, or through a demand draft or pay order, specifically by a notary. This provision was inserted to streamline the payment process and enhance transparency in financial transactions.
The scope of Section 10(c) extends to all instruments that require stamp duty under the Maharashtra Stamp Act. It applies uniformly across the state, ensuring that all transactions are subject to the same payment protocols.
While Section 10(c) itself does not explicitly outline penalties, related provisions in the Maharashtra Stamp Act indicate that failure to comply with payment requirements can lead to fines and imprisonment.
1[10D. Certain departments organisations institutions etc., to ensure payment of stamp duty.--
(1) Notwithstanding anything contained in this Act, the State Government may, by notification in the Official Gazette, direct that any State, Government Department, institution of local self-Government, semi Government, organization, banking or non-banking financial institution or the body owned, controlled or substantially financed by the State Government or any class of them, shall ensure that the proper duty is paid to the State Government through Government Receipt Accounting System (G.R.A.S.) in respect of such instruments, as may be specified in the notification passing through their system or related to their functioning of which registration is not compulsory.
(2) The Chief Controlling Revenue Authority shall authorise a person nominat
The following instruments may be stamped with adhesive stamps, namely:--
(a)1[ * * * *]
2[(b) instruments mentioned at3[articles 1,] 5(a) to (g), 17, 29, 37,4[ 41], 42, 43, 59(a) and 62 in Schedule I.]
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1 . This clause was deleted, by Mah. 9 of 1988 , s. 34 (a), (w .e.f . 22 . 4 . 1988).
2 . Clause (b) was sub stituted for the original clauses (b) and (c) by Mah. 10 of 1965 , s.3
3 . This word and figure was sub stituted for the word and letters "article Nos.", by Mah. 9 of 1988 , s. 34 (b) (w .e.f . 22 . 4 . 1988).
4 . These figures were sub stituted for the figures, br
(1)(a) Whoever affixes any adhesive stamp to any Instrument chargeable with duty which has been executed by any person shall, when affixing such stamp, cancel the same so that it cannot be used again; and
(b) Whoever executes any instrument on any paper bearing an adhesive stamp shall, at the time of execution, unless such stamp has been already cancelled in the manner aforesaid, cancel the same so that it cannot be used again.
(2) Any Instrument bearing an adhesive stamp which has not been cancelled so that it cannot be used again, shall, so far as such stamp is concerned, be deemed to be unstamped.
(3) The person required by sub-section (1) to cancel an adhesive stamp may cancel it by writing on or across the stamp his name or initials or the name or initials of his firm with the true date o
1[13. Instruments stamped with impressed stamps how to be written
Every instrument for which sheet of paper stamped with impressed stamp is used shall be written in such manner that the writing may appear on the face and, if required, on the reverse of such sheet so that it cannot be used for or applied to any other instrument.
Explanation I.-- Where two or more sheets of papers stamped with impressed stamps are used to make up the amount of duty chargeable in respect of any instrument, either a portion of such instrument shall be written on each sheet so used, or the sheet on which no such portion is written shall be signed by the executant or one of the executants, with an endorsement indicating that the additional sheet is attached to the sheet on which the instrument is written.
Explanatio
No second Instrument chargeable with duty shall be written upon a piece of stamped paper upon which an instrument chargeable with duty has already been written:
Provided that nothing in this section shall prevent any endorsement which is duly stamped or is not chargeable with duty being made upon any instrument for the purpose of transferring any right created or evidenced thereby, or of acknowledging the receipt of any money or goods the payment or delivery of which is secured thereby.
1[ 14A. Alterations in instruments how to be charged
Where due to material alterations made in an instrument by a party, with or without the consent of other parties, the character of the instrument is materially or sub stantially altered, then such instrument shall require a fresh stamp paper according to its altered character.]
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1 . Section 14 A was inserted by Mah. 27 of 1985 , s. 10 (w .e.f . 10 . 12 . 1985).
15 . Instrument written contrary to sections 13 ,1[ 14 or 14A deemed not duly stamped.]
Every instrument written in contravention of section 132[ 14 or 14 A] sh all be deemed to be3[not duly stamped.]
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1 . These figures, words and letters were sub stituted for the words and figures "or 14 deemed unstamped", by Mah. 27 of 1985 , s. 11 (c) (w .e.f . 10 . 12 . 1985).
2 . These figures, and letter were sub stituted for the words and figures "or section 14 ", by Mah. 27 of 1985 , s. 11 (a) (w .e.f . 10 . 12 . 1985).
3 . These words were sub stituted for the word "unstamped" by Mah. 27 of 1985 , s. 11 (b) (w .e.f . 10 . 12 . 1985).
Where the duty with which an instrument is chargeable, or its exemption from duty, depends in any manner upon the duty actually paid in respect ofanother instrument, the payment of such last mentioned duty shall, if application is made in writing to the Collector for the purpose, and on production of both the instruments, be denoted upon such first mentioned instrument by endorsement under the hand of the Collector in such othermanner (if any) as the State Government may, by rules, prescribe.
sh all be stamped before or at the time of execution1[or immediately thereafter]2[or on the next working day following the day of execution :]
3[Provided that the clearance list described in Article 19 , 20 , 21 , 22 or 23 of Schedule I may be stamped by an officer authorised by the State Government by rules made under this Act, if such clearance list is submitted for stamping by the clearing house of an Association in accordance with its rules and bye-laws with the requisite amount of stamp duty, within two months from the date of its execution.]
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1 . These words were added, by Mah. 27 of 1985 , s. 12 , (w .e.f . 10 - 12 - 1985).
2 . Added by Mah. 17 of 1993 , s. 31 , (w .e.f . 10 - 12 - 1985).
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(1) Every instrument chargeable with duty executed only out of this State may be stamped within three months after it has been first received in this State.
(2) Where any such instrument cannot with reference, to the description of stamp prescribed therefor, be duly stamped by a private person, it may be taken within the said period of three months to the Collector, who shall stamp the same, in such manner as the State Government may by rule prescribe, with stamp of such value as the person so taking such instrument may require and pay for.
19 . Payment of duty on certain instruments1[or copies thereof] liable to increased duty in2[Maharashtra State]
Where any instrument of the nature described in any article in Schedule I and relating to any property situate or to any matter or thing done or to be done in this State is executed out of the State and subsequently3[such instrument or a copy of the instrument is] received in the State,--
(a) the amount of duty chargeable on such instrument4[or a copy of the instrument] shall be the amount of duty chargeable under Schedule I on a document of the like description executed in this State less the amount of duty, if any, already paid under any law in force in India excluding the State of Jammu and Kashmir on such instrument when it was executed;
(b) and in addition to the stamps, if any,
(1) Where an instrument is chargeable with ad valorem duty in respect of any money expressed in any currency other than that of India, such dutyshall be calculated on the value of such money in the currency of India according to the current rate of exchange on the day of the date of the instrument.
(2) The rate of exchange for the conversion of British or any foreign currency into the currency of India prescribed under sub-section (2) of section 20of the Indian Stamp Act, 1899, shall be deemed to be the current rate for the purpose of sub-section (1).
Where an instrument is chargeable with ad valorem duty in respect of any stock or of any marketable or other security, such duty shall be calculated on the value of such stock or security according to the average price or the value thereof on the day of the date of the instrument.
Where an instrument contains a statement of current rate of exchange, or average price, as the case may require, and is stamped in accordance with such statement, it shall, so far as regards the subject matter of such statement, be presumed until the contrary is proved to be duly stamped.
Where interest is expressly made payable by the terms of an instrument, such instrument shall not be chargeable with duty higher than that with which it would have been chargeable had no mention of interest been made therein.
(1) Where an instrument --
(a) is given upon the occasion of the deposit of any marketable security by way of security for money advanced or to be advanced by way of loan, or for an existing or future debt, or
(b) makes redeemable or qualifies a duly stamped transfer intended as a security or any marketable security,
it shall be chargeable with duty as if it were an agreement or memorandum of an agreement chargeable with duty under Article No. 5(h) of Schedule I,
(2) A release or discharge of any such instrument shall only be chargeable with the like duty.
1[ 25 . How transfers in consideration of debt or sub ject to future payments, etc . to be charged.
Where any property is transferred to any person --
(a) in consideration, wholly or in part, of any debt due to him; or
(b) sub ject either certainly or contingently to the payment or transfer (to hi m or any other person) of any money or stock, whether being or constituting a charge or encumbrance upon the property or not;
such debt, money or stock, shall be deemed to be the whole or part, as the case may be, of the consideration in respect whereof the transfer is chargeable with ad valorem duty:
Provided that, nothing in this section sh all apply to any such certificate of sale as is me ntioned in Article
Where an instrument is executed to secure the payment of an annuity or other sum payable periodically or where the consideration for a conveyance is an annuity or other sum payable periodically, the amount secured by such instrument or the consideration for such conveyance, as the case may be, shall, for the purposes of this Act, be deemed to be, --
(a) where the sum is payable for a definite period so that the total amount to be paid can be previously ascertained, such total amount;
(b) where the sum is payable in perpetuity or for an indefinite time not terminable with any life in being at the date of such instrument or conveyance, the total amount which, according to the terms of such instrument or conveyance, will or may be payable during the period of twenty years calculated from the date on which the first payment becomes due; and<
Where the amount of value of the subject-matter of any instrument chargeable with ad valorem duty cannot be, or in the case of an instrument executed before the commencement of this Act, could not have been ascertained at the date of its execution or, first execution, nothing shall be claimable under such instrument more than the highest amount or value for which, if stated in an instrument of the same description, the stamp actually used would, at the date of such execution,1[have been sufficient, and the instrument shall be deemed to be insufficiently stamped as respects the excess amount and the provisions of section 34 shall accordingly apply in relation to the admission of the instrument in evidence:
Provided that, for the purpose of application to section 34 to such an instrument, it shall be sufficient if the deficiency in the duty is paid, and thereupon no penalty shall be
The consideration (if any)1[the market value] and all other facts and circumstances affecting the chargeability of any instrument with duty, or the amount of the duty with which it is chargeable, shall be fully and truly set forth therein.
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1 . These words were inserted by Mah. 16 of 1979 , s. 4.
( 1 ) Where any property has been contracted to be sold for one consideration for the whole, and is conveyed to the purchaser in separate parts by different instruments, the1[market value] shall be apportioned in such manner as the parties think fit, provided that a distinct1[market value] for each separate part is set forth in the conveyance relating thereto, and such conveyance shall be chargeable with ad valorem duty in respect of such distinct1[market value].
( 2 ) Where property contracted to be purchased for one consideration for the whole, by two or more persons jointly, or by any person for himself and others, or wholly for others, is conveyed in parts by separate instruments of the persons, by or for whom the same was purchased, for distinct parts of the consideration, the conveyance of each separate part shall be chargeable with ad valorem duty in respect of the distinct
Section 29 of the Maharashtra Stamp Act, 1958, delineates the persons liable to pay stamp duty on various instruments and the mode and timing of such payments. It forms a fundamental part of the fiscal provisions aimed at ensuring proper collection of stamp duty, which is a crucial revenue measure and a requisite for the admissibility of instruments in evidence.
Section 29 specifies:- Who is liable to pay stamp duty (persons responsible).- The manner of paying duty (cash, demand draft, etc.).- The timing of payment (before or at the time of execution, or as prescribed).- The consequences of non-compliance, including inadmissibility in evidence and penalties.
Persons Liable - Section 29 assigns liability to the person executing or making the instrument, including the transferor, mortgagor, or the party creating the document. The liability is generally joint and several if multiple parties are involved. [Section 29, Maharashtra Stamp Act]
Mode of Payment - Payment can be made in cash, demand draft, or other authorized modes. The mode must be in accordance with the rules prescribed under the Act. Non-compliance leads to inadmissibility and penalties. [Section 29(1), Maharashtra Stamp Act]
Timing of Payment - Duty must be paid before or at the time of execution, or as stipulated under specific provisions like Section 17 of the Indian Stamp Act, 1899, and Section 31 of the Maharashtra Stamp Act. Delay beyond prescribed time can result in penalties. [Section 29(1), Section 17, Maharashtra Stamp Act]
Inadmissibility in Evidence - Instruments not duly stamped are inadmissible in evidence under Section 35 of the Maharashtra Stamp Act, which underscores the importance of timely stamping. [Section 35, Maharashtra Stamp Act]
Impounding Power - The Collector has the authority to impound instruments that are insufficiently stamped, and such instruments cannot be used in evidence unless properly stamped and endorsed. [Section 33, Maharashtra Stamp Act]
Penalties and Fine - Willful default or evasion can attract penalties up to twice the amount of deficient duty and imprisonment for up to six months, emphasizing the strict enforcement regime. [Section 63, Maharashtra Stamp Act]
Penalty for Non-Compliance - Non-payment or late payment of stamp duty can lead to penalties under Sections 63 and 63A, including fines and imprisonment, and may also lead to the instrument being declared invalid for legal purposes. [Section 63, 63A, Maharashtra Stamp Act]
Legal Effect of Non-Stamping - An unstamped or insufficiently stamped instrument is inadmissible in evidence and cannot be used to establish rights or obligations unless duly stamped. This impacts enforceability and registration. [Section 34, Maharashtra Stamp Act]
Role of Courts - Courts have the power to reject or impound instruments that are not properly stamped, and such instruments cannot be relied upon for legal proceedings unless properly stamped and endorsed. [Section 58(2), Maharashtra Stamp Act]
Implication for Registration - Instruments that are not properly stamped cannot be registered or admitted as evidence, which affects the validity of conveyances, agreements, or other documents affecting property rights. [Section 17, Indian Registration Act; Section 33, Maharashtra Stamp Act]
Instruments Executed Out of Maharashtra - Section 29(2) of the Indian Stamp Act and corresponding provisions in the Maharashtra Stamp Act extend the liability to instruments executed outside the state but received in Maharashtra, provided they relate to property or matters within the state. [Section 29(2), Indian Stamp Act]
Development Agreements & Conveyances - Development agreements, if transferring substantial rights or interests in immovable property, are treated as conveyances and are chargeable to stamp duty under Article 25(b) of Schedule I. The instrument's substance determines duty, not its form. [Section 3, Schedule I, Article 25(b), Maharashtra Stamp Act; Shri Ravindra Champalal Khivsara case]
Legal Position on Unstamped Instruments - The courts have consistently held that an instrument not duly stamped cannot be admitted in evidence, and the defect cannot be cured by mere payment of deficit duty unless impounded and endorsed by the Collector. [Section 34, Maharashtra Stamp Act; N.N. Global Mercantile case]
Arbitration Agreements & Stamp Duty - Arbitration clauses embedded in agreements or conveyances are not necessarily chargeable to stamp duty if they are independent of the main instrument. However, if the main instrument is unstamped or insufficiently stamped, the arbitration clause's enforceability may be affected unless the instrument is impounded and duly stamped. [N.N. Global Mercantile, Garware Wall Ropes]
Harmonious Construction with Section 11(13) - The Supreme Court advocates harmonizing Sections 33 and 34 with Section 11(13) of the Arbitration Act, 1996, by impounding unstamped instruments and allowing the arbitration process to proceed once duties are paid, thus balancing revenue collection with procedural fairness. [N.N. Global, Garware Wall Ropes]
Legal Effect of Non-Payment - Non-payment or insufficient payment of stamp duty renders the instrument inadmissible in evidence and may lead to penalties, but does not automatically invalidate the substantive rights unless declared so by a court. [Section 35, Maharashtra Stamp Act]
Legal Precedents on Stamp Duty & Instruments - Courts have consistently upheld that proper stamping is a mandatory requirement for enforceability, and failure to do so results in inadmissibility, affecting the rights and obligations under the instrument. [Hindustan Lever case, Garware Wall Ropes, N.N. Global]
Power of Court to Impound & Decide - Courts and authorities can impound unstamped or insufficiently stamped instruments and decide on the duty payable, with the right to impose penalties, ensuring compliance with the law. [Section 33, 34, Maharashtra Stamp Act]
Legal Position on Court Orders & Judicial Acts - Court decrees, orders, or schemes involving transfer of property are also considered instruments and are subject to stamp duty if they transfer rights or interests, as clarified by Supreme Court decisions. [Gujarat High Court, Supreme Court in Garware, Vidya Drolia]
Section 29 of the Maharashtra Stamp Act establishes the responsibility of parties to pay stamp duty on various instruments, the mode and timing of such payments, and the consequences of non-compliance. The law underscores the importance of proper stamping for admissibility and enforceability of instruments, including conveyances, development agreements, and arbitration clauses. Courts have consistently held that improperly stamped instruments are inadmissible, and the power to impound and decide the duty payable lies with the Collector, ensuring revenue collection and legal integrity. The principle of the separability of arbitration agreements from the main instrument remains valid, provided the main instrument is duly stamped; otherwise, the enforceability of the arbitration clause may be affected until proper duty is paid.
In the absence of an agreement to the contrary, the expense of providing the proper stamp shall be borne:--
(a) in the case of any instrument described in any of the following articles of Schedule I, namely:--
No. 2 (Administration Bond),
No. 6 (Agreement relating to Deposit of Title-deeds, Pawn or Pledge),
No. 13 ( Bond),
No. 14 ( B ottomry Bond),
No. 28 (Customs Bond),
No. 33 (Further Charge),
No. 35 (Indemnity Bond),
No. 40 (Mortgage Deed),
No. 52 (Release),
&n
1[(1) Notwithstanding anything contained in section 30, where any instrument referred to in clauses (a) to (g) of section 30, is executed on or after the date of commencement of the Maharashtra Tax Laws (Levy and Amendment) Act, 2013(Mah. VIII of 2013), in favour of or by any financial institution such as Bank, Non-Banking Finance Company, Housing Finance Company or alike, which creates any right in favour of any such financial institution, the liability to pay proper stamp duty shall be on such financial institution concerned without affecting their right, if any, to collect it from the other party.
(2) In respect of any such instrument executed before the date of commencement of the Maharashtra Tax Laws (Levy and Amendment) Act, 2013, (Mah. VIII of 2013) and are effective and where proper stamp duty is not paid, then the financial institution shall impound such instrument on or b
1[(1) When an instrument, whether executed or not and whether previously stamped or not, is brought to the Collector,2[by one of the parties to the instrument and such person] applies to have the opinion of that officer as to the duty (if any) with which3[or the Article of Schedule I under which] it is chargeable and pay4[a fee of one hundred rupees] the Collector shall determine the duty (if any) with which3[or the Article of Schedule I under which] in his judgement, the instrument is chargeable].
(2) For this purpose the Collector may require to be furnished with5[a true copy or] an abstract of the instrument, and also with such affidavit or other evidence as he may deem necessary to prove that all the facts and circumstances affecting the chargeability of the Instrument with duty, or the amount of the duty with which it is chargeable, are fully and truly set forth therein and ma
( 1 ) When an Instrument brought to the Collector under section 31 , is in his opinion, one of a description chargeable with duty, and --
(a) the Collector determines that it is already fully stamped, or
(b) the duty determined by the Collector under section 31, or such sum as with the duty already paid in respect of the instrument, is equal to the duty, so determined has been paid,
the Collector shall certify by endorsement on such instrument that the full duty1[(stating the relevant Article of Schedule I and the amount)] with which it is chargeable has been paid.
( 2 ) When such instrument is, in hi s opinion, not chargeable with duty, the Collector shall certify in manner aforesaid that such instrument is not so chargeable.
&
1[ 32 A. Instrument of conveyance, etc . undervalued how to be dealt with.
(1) Every instrument of conveyance, exchange, gift, certificate of sale, deed of partition or power of attorney to sell immovable property when given for consideration, deed of settlement or transfer of lease by way of assignment 10[and also any other instruments mentioned in SCHEDULE I chargeable with duty on the basis of market value of the property], presented for registration under the provisions of Registration Act, 1908 , shall be accompanied by a true copy thereof:
Provided that, in case of such instruments executed on or after the 4th July 1980, to the date of commencement of the Bombay Stamp (Amendment) Act, 1985 , an extract of the instrument to be taken from the registration record shall be deemed to be the true copy accompanying the instrument, present
1[ 32B. Appeal
(1) Any person aggrieved by any order determining the market value under sub-section (3) of section 31 or under section 32A or any order imposing any penalty under section 32A may, within sixty days from the date of receipt of such order, by an application in writing (accompanied by such fee not exceeding three hundred rupees as the State Government may, from time to time, by notification in the Official Gazette, specify; and different rates of fees may be specified for different areas), file an appeal against such order, to the 2[Additional Controller of Stamps, Mumbai in respect of the property, which is the subject matter of the instrument, is situated in Mumbai City and Mumbai Suburban Districts and in respect of the properties situated in the other parts to the] Deputy Inspector General of Registration and Deputy Controller of Stamps, who shall after considering
1[Subject to the provisions of section 32B and any rules which may be made in this behalf by the State Government, the Chief Controlling Revenue Authority may, suo moto, call for and examine the record of any order passed (including an order passed in appeal) under this Act or the rules made thereunder, by any officer and pass such order thereon as he thinks just and proper; and the order so passed shall be final and shall not be called in question in any Court or before any authority:
Provided that, no notice calling for the record under this section shall be served by the Chief Controlling Revenue Authority after the expiry of three years from the date of communication of the order sought to be revised and no order of revision, shall be made by the said Authority hereunder after the expiry of five years from such date:
Provided further
( 1 )1[Subject to the provisions of section 32-A, every person] having by law or consent of parties authority to receive evidence and every person in charge of a public office, except an officer of police2[or any other officer, empowered by law to investigate offences under any law for the time being in force,] before whom any instrument chargeable, in his opinion, with duty, is produced or comes in the performance of his functions shall, if it appears to him that such instrument is not duly stamped, impound the same3[irrespective whether the instrument is or is not valid in law.]
( 2 ) For that purpose every such person shall examine every Instrument so chargeable and so produced or coming before him in order to ascertain whether it is stamped with a stamp of the value and description required by the law for the time being in force in the State when such instrument was executed or
1[33A. Impounding of instruments after registration.--
When through mistake or other wise any instrument which is not duly stamped is registered under the Registration Act, 1908 , the registering officer may call for the original instrument from the party and, after giving the party an opportunity of being heard and recording the reasons in writing and furnishing a copy thereof to the party, impound it. On failure to produce such original instrument by the party, a true copy of such instrument taken out from the registration record shall, for the purposes of this section, be deemed to be the original of such instrument]]:
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1 . Section 33 A was inserted by Mah. 27 of 1985 , s. 21 , (w .e.f . 10 - 12 -1985).
No instrument chargeable with duty1[ * * * ] shall be admitted in evidence for any purpose by any person having by law or consent of parties authority to receive evidence, or shall be acted upon, registered or authenticated by any such person or by any public officer unless such instrument is duly stamped2[or if the instrument is written on sheet of paper with impressed stamp3[such stamp paper is purchased in the name of one of the parties to the instrument].
Provided that, --
4[(a) any such instrument shall, subject to all just exceptions, be admitted in evidence on payment of, --
(i) the duty with which the same is chargeable, or in the case of an instrument insufficiently stamped, the amount required to make up such duty, and
5[(ii) a penalty at
Where an instrument has been admitted in evidence, such admission shall not, except as provided in section 58, be called in question at any stage of the same suit or proceeding on the ground that the instrument has not been duly stamped.
The State Government may make rules providing that, where an instrument bears a stamp of sufficient amount but of improper description, it may, on payment of the duty with which the same is chargeable, be certified to be duly stamped, and any instrument so certified shall then be deemed to have been duly stamped as from the date of its execution.
(1) When the person impounding an instrument under section 33 has by law or consent of parties authority to receive evidence and admits such instrument in evidence upon payment of a penalty as provided by section 34 or of duty as provided by section 36, he shall send to the Collector an authenticated copy of such instrument, together with a certificate in writing stating the amount of duty and penalty levied in respect thereof, and shall send such amount to the Collector, or to such person as he may appoint in this behalf.
1[(2) In every other case, a person so impounding the original instrument shall prepare an authentic copy of such instrument and where it is a true copy or an abstract referred to in section 31 or true copy referred to in section 33A, he shall send such authentic copy or, true copy or, as the case may be, an abstract to the Collector, for the purpose of taking ac
1[***]
1. Omitted by the Maharashtra Stamp (Amendment) Act, 2015 for the following : -
"38. Collector's power to refund penalty paid under section 37, sub-section (1).--
(1) When a copy of an instrument is sent to the Collector under sub-section (1) of section 37 he may, if he thinks fit, refund any portion of the penalty in excess of five rupees which has been paid in respect of such instrument.
(2) When such instrument has been impounded only because it has been written in contravention of section 12 or section 14, the Collector may refund the whole penalty so paid."
(1) When the Collector impounds any instrument under section 33, or receives any instrument sent to hi m under sub -section (2) of section 37, not being an instrument chargeable with a duty of twenty naye paise, or less, he shall adopt the following procedure: --
(a) if he is of opinion that such instrument is duly stamped or is not chargeable with duty, he shall certify by endorsement thereon that it is duly stamped, or that it is not so chargeable, as the case may be;
(b) if he is of opinion that such instrument is chargeable with duty and is not duly stamped he sh all require the payment of the proper duty or the amount required to make up the same, together with a penalty of1[an amount equal to2[ 2 per cent of the deficient portion of the stamp duty, for every month or part thereof] from the date of execution of the instrument subjec
If any instrument chargeable with duty and not duly stamped, not being an instrument chargeable with a duty of twenty naye paise or less is produced by any person of his own motion before the Collector within one year from the date of its execution or first execution, and such person brings to the notice of the Collector the fact that such instrument is not duly stamped and offers to pay to the Collector the amount of the proper duty, or the amount required to make up the same, and the Collector is satisfied that the omission to duly stamp such instrument has been occasioned by accident, mistake or urgent necessity he may instead of proceeding under sections 33 and 39, receive such amount and proceed as next hereinafter prescribed 1[with the prior approval of the Additional Controller of Stamps, Mumbai for the areas in Mumbai City and Mumbai Suburban Districts and for the other areas the Deputy Inspector General of Registrati
(1) When the duty and penalty (If any) leviable in respect of any instrument1[(not, being any instrument referred to in sub-section (1) of section 32-A)], have been paid under section 34, section 39 or section 40, the person admitting such instrument in evidence or the Collector, as the case may be, shall certify by endorsement thereon that the proper duty or, as the case may be the proper duty and penalty (stating the amount of each) have been levied in respect thereof, and the name and residence of the person paying them.
(2)2[Subject to the provisions of section 53 A, every instrument] so endorsed shall thereupon be admissible in evidence, and may be registered and acted upon and authenticated as if it had been duly stamped, and shall be delivered3[on the application in this behalf, to the person who produced it, or to the person from whose possession it came into the hands of t
The taking of proceedings or the payment of a penalty under this Chapter in respect of any instrument shall not bar the prosecution of any person who appears to have committed an offence against the stamp law in respect of such instrument:
Provided that no such prosecution shall be instituted in the case of any instrument in respect of which such a penalty has been paid, unless it appears to the Collector that the offence was committed with an intention of evading payment of the proper duty.
( 1 ) When any duty or penalty has been paid under section 34 , section 36 , section 39 or section 40 , by any person in respect of an instrument, and, by agreement or under the provisions of section 30 or any other enactment in force at the time such instrument was executed, some other person was bound to bear the expense of providing the proper stamp for such instrument, the first me ntioned person sh all be entitled to recover from such other person the amount of the duty or penalty so paid.
( 2 ) For the purpose of such recovery any certificate granted in respect of such instrument under this Act shall be conclusive evidence of the matters therein certified.
( 3 ) Such amount may, if the Court thinks fit, be included in any ord er as to costs in any suit or proceeding to which such persons are parties and in which instrument has been
( 1 ) Where any penalty is paid under section 34 or section 39, the Chief Controlling Revenue Authority may, upon application in writing made within one year from the date of the payment, refund such penalty wholly or in part.
( 2 ) Where, in the opinion of the Chief Controlling Revenue Authority stamp duty in excess of that which is legally chargeable has been charged and paid under section 34 or section 39 , such authority may, upon application in writing made by the party concerned within1[one year] from the date of receipt of the order charging the same, refund the excess.
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1 . These words were sub stituted for the words "three months," by Mah. 27 of 1985 , s. 27 , (w .e.f . 10 - 12 - 1985).
(1) if any instrument sent to the Collector under sub-section (2) of section 37, is lost, destroyed or damaged during transmission, the person sending the same shall not be liable for such loss, destruction or damage.
(2) When any instrument is about to be so sent, the person from whose possession it came into the hands of the person impounding the same, may require a copy thereof to be made at the expense of such first-mentioned person and authenticated by the person impounding such instrument.
1[( 1 )] All duties, penalties and other sums required to be paid under this2[Act] may be recovered by the Collector by distress and sale of the movable property of the person from whom the same are due, or as an arrear of land revenue.
3[( 2) For the purpose of effecting such recovery, as arrears of land revenue,--
(a) the Chief Controlling Revenue Authority sh all have and exercise all the powers and perform all the duties of the Commissioner under the Maharashtra Land Revenue Code, 1966;
(b) the officer appointed as the Collector under clause (f) of section 2 shall have and exercise all the powers and perform all the duties of the Collector under the said Code.
( 3 ) Every notice issued or ord er passed in exercise of the powers conferred by sub
Subject to such rules as may be made by the State Government as to the evidence to be required, or the inquiry to be made, the Collector may on application, made within the period prescribed in section 48 , and if he is satisfied as to the facts, make allowance for impressed stamps spoiled in the cases hereinafter mentioned, namely:--
(a) the stamp on any paper inadvertently and undesignedly spoiled, obliterated or by error in writing or any other means rendered unfit for the purpose intended before any instrument written thereon is executed by any person;
(b) the stamp on any document which is written out wholly or in part, but which is not signed or executed by any party thereto;
(c) the stamp used for an instrument executed by any party thereto which--
The application for relief under section 47 shall be made within the following period, that is to say,--
(1) in the cases mentioned in clause (c) (5), within 1[six months] of the date of the instruments:
6[Provided that, where an agreement to sale of immovable property on which stamp duty is paid under Article 25 of the SCHEDULE I, is registered under the provisions of the Registration Act, 1908 (XVI 1908) and thereafter such agreement is of cancelled by a registered cancellation deed for whatsoever reasons before taking the possession of the property which is the subject matter of such agreement, within a period of five years from the date of execution of the agreement to sale, then the application for relief may be made within a period of six months from the date of registration of cancellation deed.];]
The Chief Controlling Revenue Authority or the Collector if empowered by the Chief Controlling Revenue Authority in this behalf may without limit of time, make allowance for stamped papers used for printed forms of instrument by any banker or by any incorporated company or other bodycorporate, if for any sufficient reason such forms have ceased to be required by the said banker, company or body corporate: provided that such authority is satisfied that the duty in respect of such stamped papers has been duly paid.
(1) When any person has inadvertently used, for an instrument chargeable with duty, a stamp of a description other than that prescribed for such instrument by the rules made under this Act, or a stamp of greater value than was necessary or has inadvertently used any stamp for an instrument not chargeable with any duty; or
(2) when any stamp used for an instrument has been inadvertently rendered useless under section 15 , owing to such instrument having been written in contravention of provisions of section 13;
the Collector may, on application made within1[six months] after the date of the instrument, or, if it is not dated, within1[six months] after the execution thereof by the person by whom it was first or alone executed, and upon the instrument, if chargeable with duty, being re-stamped with the proper duty, cancel and allow as spoil
1[51. Allowance for spoiled or misused stamps how to be made
In any case in which allowance is made for spoiled stamps under section 47 or misused stamps under section 50 , or in respect of printed forms no longer required under section 49, the Collector may give, in lieu thereof,--
(a) the same value in money, deducting2[therefrom such amount as may be prescribed by rules made in this behalf by the State Government]; or
(b) if the applicant so requires, other stamps of the same description and value; or
(c) if the applicant so requires, stamps of any other description of the same amount in value:
Provided that, in the cases covered by clauses (b) and (c) a stationary charge as may be prescribed by rules
When any person is possessed of a stamp or stamps which have not been, spoiled or rendered unfit or useless for the purpose intended, but for which he has no immediate use, the Collector sh all repay to such person the value of such stamp or stamps in money,deducting1[therefrom such amount as may be prescribed by rules made in this behalf by the State Government], upon such person delivering up the same to be cancelled, and proving to the Collector's satisfaction --
(a) that such stamp or stamps were purchased by such person with a bona fide intention to use them; and
(b) that he has paid the full price thereof; and
(c) that they were so purchased within the period of2[six months] next preceding the date on which they were so delivered;
Provided tha
1[52A. Allowance for duty
(1) Notwithstanding anything contained in sections 47, 50, 51 and 52, when payment of duty is made by stamps or in cash as provided for under sub-section (3) of section 10 or section 10A or Section 10B, and when the amount of duty paid exceeds rupees 2[five lakhs], the concerned Collector shall not make allowance for the stamps, or the cash amount paid under the Challans, which are spoilt or misused or not required for use, but shall, after making necessary enquiries, forward the application, with his remarks thereon, to-
(a) the additional controller of stamps for the cases handled by the collectors working in the Mumbai City District and Mumbai Suburban District; and
(b) the concerned Deputy Inspector General of Registration and Deputy Controller of Stamps of the di
1[ 52B. Invalidation of stamps and saving
1[REFERENCE, REVISION AND APPEAL]
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1. This heading of Chapter VI was substituted by Mah. 9 of 1997, section. 12 , (w.e.f. 15.9.1996).
( 1) The powers exercisable by a Collector under1[Chapter III], Chapter IV and Chapter V and under clause (a) of2[the second proviso] to section 27 shall in all cases be subject to the control of the Chief Controlling Revenue Authority:
3[(1A) Any person aggrieved by an order of the Collector under Chapter III, Chapter IV, Chapter V and under clause (a) of the second proviso to section 27 may, within sixty days from the date of receipt of such order, by an application in writing, accompanied by a fee of three hundred rupees, file an appeal against such order to the Chief Controlling Revenue Authority; who shall, after giving the parties a reasonable opportunity of being heard, consider the case and pass such order thereon as he thinks just and proper and the order so passed shall be final].
( 2) If any Collector, acting under section 31,
1[ 53 A. Revision of Collector's decision under sections 32 , 39 and 41.
( 1 ) Notwithstanding anything contained in sub -section ( 3 ) of section 32 , sub section ( 2 ) of section 39 and sub -section ( 2 ) of section 41 , when through mistake or other wise any instrument is charged with less duty than leviable thereon, or is held not chargeable with duty, as the case may be, by the Collector, the Chief Controlling Revenue Authority may, within a period of six years from the date of certificate of the Collector under section 32 , 39 or 41 , as the case may be, require the concerned party to produce before hi m the instrument and, after giving a reasonable opportunity of being heard to the party, examine such instrument whether any duty is chargeable, or any duty is less levied, thereon and ord er the recovery of the deficit duty, if any, from the concerned party. An endorsement sha
1[(1) The Chief Controlling Revenue Authority may state any case --
(a) referred to it under sub -section (2) of section 53;
(b) on an application made to it by the party interested, within the period, which in the opinion of the Authority is reasonable, raising a substantial question of law for referring the same; or
(c) otherwise coming to its notice;
and refer such case formulating the precise question with its own opinion thereon(tm) to the High Court.]
( 2 ) Every such case sh all be decided by not less than three Judges of the Hi gh Court and in case of difference, the opinion of the maj ority shall prevail.
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If the High Court is not satisfied that the statements contained in the case are sufficient to enable it to determine the questions raised thereby, theHigh Court may refer the case back to the Revenue Authority by which it was stated to make such additions thereto or alterations therein as the High Court may direct in that behalf.
( 1 ) The Hi gh Court upon the hearing of any such case sh all decide the question raised thereby, and shall deliver its judgement thereon containing the grounds on which such decision is founded.
( 2 ) The Hi gh Court sh all send to the Revenue Authority, by which the case was stated a copy of such judgement under the seal of the Court and the signature of the Registrar; and the Revenue Authority sh all, on receiving such copy,1[pass such orders as are necessary for disposal of the case conformably to such judgement.]
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1 . These words were sub stituted for the words "dispose of the case conformably to such Judgement" by Mah. 27 of 1985 , s. 37 , (w .e.f . 10 - 12 - 1985).
(1) If any Court, other than the High Court, feels doubts asto the amount of duty, to be paid in respect of any instrument under clause (a)of the proviso to section 34, the Judge may draw up a statement of the case and refer it, withhis ownopinion thereon, for the decision of the High Court.
(2) TheHigh Court shall deal with the case as if it had been referred undersection 54, and send a copy of its judgement under the sealof the Court and the signature of the Registrar to the Chief ControllingRevenue Authority and another like copy to the Judgemaking the reference, who shall,on receiving such copy, dispose of the case conformably to such judgement.
(3) Reference made under sub-section (1),when made bya Court subordinate to a DistrictCourt, shall be made through theDistrict Court, and, when made by any SubordinateRevenue Court, shall be
( 1 ) When any Court in the exercise of its civil or revenue jurisdiction or any Criminal Court in any proceeding1[under Chapter IX or Part D of Chapter X of the Code of Criminal Procedure 1973 ,] makes any ord er admitting any instrument in evidence as duly stamped or as not requiring a stamp, or upon payment of duty and a penalty under section 34 , the Court to which appeals lie from, or references are made by, such first-mentioned Court may, of its own motion or on the application of the Collector, take such order into consideration.
( 2 ) If such Court, after such consideration is of opinion that such instrument sh ould not have been admitted in evidence without the payment of duty and penalty under section 34 , or without the payment of a hi gher duty and penalty than those paid, it may record a declaration to that effect, and determine the amount of duty with which such instr
( 1 )1[Any person who, with the intention to evade the duty, executes or signs] other wise than as a witness any instrument chargeable with duty without the same being duly stamped sh all, on conviction, for every such offence2[be punished with rigorous imprisonment for a term which shall not be less than one month but which may extend to six months and with fine which may extend to five thousand rupees]:
Provided that, when any penalty has been paid in respect of any instrument under section 34 , section 39 or section 58 , the amount of such penalty sh all be allowed in reduction of the fine (if any) subsequently imposed under this section in respect of the same instrument upon the person who paid such penalty.
( 2 ) If a sh are warrant is issued without being duly stamped, the company issuing the same, and also every person who, at the
1[59A. No prosecution under section 59, if instrument admitted by Court
No person shall be prosecuted under section 59, in respect of an instrument which was produced in Court and which was admitted after a decision by the Court that the said instrument was duly stamped or that no stamp was required.] .
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1 . Section 59A was inserted by Mah. 27 of 1985, s. 41, (w.e.f. 10-12-1985).
Any person who in a clearance list makes a declaration which is false or which he either knows or believes to be false, sh all, on conviction, be punished with1[rigorous imprisonment for a term which shall not be less than one month but which may extend to six months and with fine which may extend to five thousand rupees.]
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1 . These words were sub stituted for the words "Imprisonment for a term which may extend to six months or with fine which may extend to five hundred rupees or with both" by Mah. 18 of 1989 , s. 10 (w .e.f . 1 . 12 . 1989).
Any person required by section 12 to cancel an adhesive stamp, fails to cancel such stamp in the manner prescribed by that section he shall, on conviction be punished with fine which may extend to one hundred rupees.
Any person who, with intent to defraud the Government, --
(a) executes any instrument in which all the facts and circumstances required by section 28 to be set forth in such instrument are not fully and truly set forth; or
(b) being employed or concerned in or about the preparation of any instrument, neglects or omits fully and truly to set forth therein all such facts and circumstances; or
(c)1[makes, any false statement or does any other act] calculated to deprive the Government of any duty or penalty under this Act,
shall, on conviction, be punished with a fine which may extend to five thousand rupees.
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1 . Thes
(a)Any person appointed, to sell stamps who disobeys any rule made under section 69; and
1 [(b) any person not so appointed, who carries onbusiness of dealing in stamps other than adhesive stamps oftwenty paise or of lesservalue.]
shall,on conviction, be punished with 2 [rigorous imprisonment for a term which shall notbe less than one month but which may extend to six months and with fine whichmay extend to five thousand rupees].
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1. Clause (b) was substituted for the original by Mah. 27 of 1985, s. 43(w.e.f. 10-12-1985).
2. These words were substituted for the words "imprisonment for a term whichmay extend to six months or with fine which may extend to five
1[ 63A. Non-remittance of stamp duty within prescribed time to be offence
( 1 ) Any person who, before the date of commencement of the Maharashtra Tax Laws (Levy, Amendment and Validation) Act, 1997 (hereinafter, in this section, referred to as "the said date"), has collected or any time after the said date collects, from any person, any sum purporting to be towards the payment of stamp duty, shall within 120 days from the said date or, as the case may be, within 30 days from the date of collection of such amount, remit the same in Government Treasury or General Stamp Office, Mumbai, or any other place as the State Government may, by notification in the Official Gazette, specify in this behalf.
( 2) Whoever contravenes the provisions of sub-section ( 1) shall, on conviction, be punished with rigorous imprisonment for a term which shall n
(1) No prosecution in respect of any offence punishable under this Act or any Act hereby repealed shall be instituted without the sanction of the Collector or such other officer as the State Government generally, or the Collector specially, authorises in that behalf.
(2) The Chief Controlling Revenue Authority or any officer generally or specially authorised by it in this behalf, may stay any such prosecution or compound any such offence.
(3) The amount of any such composition shall be recoverable in the manner provided by section 46.
[Jurisdiction to try offences.] Deleted by Mah. 27 of 1985, section 44, (w.e.f. 10-12-1985)
1[ 66. Place of trial
Every offence under this Act committed in respect of any instrument may be tried in any district or a Metropolitan area in which such instrument is executed, or found or where such offence is triable under the Code of Criminal Procedure, 1973.]
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1 . Section 66 was sub stituted for the original by Mah. 27 of 1985 , s. 45 , (w .e.f . 10 - 12 - 1985).
Every public officer having in hi s custody any registers, books, records, papers, documents or proceedings, the inspection whereof may tend to secure any duty, or to prove or lead to the discovery of any fraud or omission in relation to any duty, sh all at all reasonable times permit any person authorised in writing1[by the State Government or] by the Collector to inspect for such purpose, the register, books, papers, documents and proceedings and to take such notes and extracts as he may deem necessary without fee or charge2[and, if necessary, to seize and impound them under section 33.]
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1 . These words were inserted by Mah. 27 of 1985 , s. 46 (a), (w .e.f . 10 - 12 - 1985).
2 . These words were added by Mah. 27 of 1985 , s. 46 (b), (w .e.f . 1
1[67A. Obligation to furnish information.--
(1) Any such individual, institution, organisation, company or a body responsible for creating, executing, maintaining, recording, verifying an instrument chargeable with duty as may be notified by the State Government in the Official Gazette, shall, when called upon by any officer specifically authorised by the Chief Controlling Revenue Authority in this behalf, furnish information in the form and within the time limit specified by the Chief Controlling Revenue Authority.
(2) Any such individual, institution, organisation, company or a body responsible to furnish the information under sub-section (1) fails to furnish the same within the specified time, the Chief Controlling Revenue Authority or any other officer authorised by him in this behalf, direct such defaulter to pay by way of penalty,
3[68. Powers to inspect and call for information.--
Any officer not below the rank of Collector having sufficient reason to believe that, it is necessary to inspect or any registers, books, records including a diskette, magnetic cartridge tape, CD-ROM or any other computer readable media or any electronic record mentioned under clause (t) of sub-section (1) of section 2 of the Information Technology Act, 2000 (21 of 2000), papers, documents, instruments or proceedings which may lead to the discovery of any fraud or omission in relation to any duty, shall, at all reasonable times may himself or through any officer authorised by him in this behalf, who shall be not below the rank of Gazetted Group-B officer or Sub-Registrar, Grade-I appointed under the Registration Act, 1908 (XVI of 1908) or Inspector of Stamps, enter in any premises and inspect the same in the custody of any person,
1[68A. Prevention or obstruction of an officer to be an offence.--
If any person prevents or obstructs entry of any officer authorised under section 68 or fails to give any reasonable assistance to him, he shall, on conviction, be punished with imprisonment for a term which shall not be less than one month, but which may extend to six months and with fine which may extend to rupees five thousand.]
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1. Inserted by the Maharashtra Stamp (Amendment) Act, 2015.
Section 69 - Power to make rules
1[69. Power to make rules
(1 ) The State Government may, by notification in the Official Gazette, make rules to carry out generally the purposes of this Act, and such rules may provide that a breach thereof shall on conviction, be punished with fine not exceeding five hundred rupees.
(2) Without prejudice to the generality of the powers conferred by sub-section(1),and in particular such rules 2 [may regulate, or provide for all or any of the following matters, namely:--]
(a) the supply, sale and use of stamps and stamped papers;
(b) the persons by whom alone such sale is to be con
1[(1)] In determining the amount of duty payable, or of the allowance to be made, under this Act, any fraction of ten paise equal to or exceeding five paise shall be rounded off to the next ten paise, and fractions of less than five paise shall be disregarded.
2[(2) In determining the amount of duty payable, or of the allowances to be made, under this Act, in case of instrument in respect of which duty payable is more than one hundred rupees, any fraction of one hundred rupees equal to or exceeding fifty rupees shall be rounded off to the next one hundred rupees, and fractions of less than fifty rupees shall be disregarded.]
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1. Re-numbered by the Maharashtra Tax Laws (Levy and Amendment) Act, 201
[Publication of rules.] Deleted by Mah. 27 of 1985 section 48, (w.e.f. 10-12-1985).
The State Government may by notification in the Official Gazette, delegate--
(a) all or any of the powers conferred on it by sections 2 (f), 33 (3) (b),1[ 64 and 69] to the Chief Controlling Revenue Authority; 2[***]
3[(a-a) powers conferred on it by clause (b) of section 9, to the Additional Controller of Stamps, Mumbai or any other officer; and.]
(b) all or any of the powers conferred on the Chief Controlling Revenue Authority by sections 44 , 53 (1) and 64 (2) to such Subordinate Revenue Authority as may be specified in the notification.
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1 . Substituted for the figures and words " 64 , 69 and 75 " by Mah. 17 of 1993 s. 36 (w .e.f . 1 . 5 . 1993).
Nothing in this Act contained shall be deemed to affect the duties chargeable under any enactment for the time being in force relating to court-fees.
[Use of former State Stamps permissible for certain period to be notified.] Deleted by Mah. 27 of 1985, section 49, (w.e.f. 10-12-1985).
[Use of Bombay Government Stamps by Maharashtra for certain period.] Deleted by Mah. 27 of 1985, section 49, (w.e.f. 10-12-1985).
For the avoidance of doubt, it is hereby declared that nothing in this Act shall apply to rates of stamp duty in respect of bills of exchange, cheques, promissory notes, bills of lading, letters of credit, policies of insurance, transfer of shares, debentures, proxies and receipts.
The State Government sh all make provision for the sale of translation of this Act in1[Marathi and Hi ndi] at a price2[as may be fixed from time to time] per copy.
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1 . These words were sub stituted for the words "the principal vernacular languages in the territories administered by it" by Mah. 27 of 1985 , s. 50 (a) (w .e.f . 10 . 12 . 1985).
2 . Sub stituted for the words "not exceeding one rupee" by Mah. 17 of 1993 s. 37 (w .e.f . 1 . 5 . 1993).
(1)Theenactments specified in column 3 of Schedule II heretoannexed shall be repealed in themanner and to the extent specified in column 4 thereof:
Provided that, the repeal hereby made shall not affect--
(i) any right, title, obligation, or liabilityalready acquired, accrued or incurred or anything done or suffered.
(ii) any legal proceeding or remedy in respect ofany such right, title, obligation or liability;
under the provisions of the enactments herebyrepealed and any such proceeding may, be instituted, continued and disposed ofarid any such remedy may be enforced as if this Act had not been passed.
(2) Any appointment,notification, notice, order, rule or form made orissued under any of the enactment
RATES OF STAMP DUTY APPLICABLE TO MAHARASHTRA
SCHEDULE 1
Description of Instruments Proper Stamp Duty
1 2
1 ACKNOWLEDGEMENT of
1[(1)] a debt written or signed by, or on behalf of, a debtor in order to supply evidence of such debt in any book (other than a banker's pass book) or on a separate piece of paper when such book or paper is left in the creditor's possession, and the amount or value of such debt--
(a) 2[***]
(b) 3[***]
(c) exceeds rupees 5,000 b
SCHEDULE II
ENACTMENTS REPEALED
(See section 76)
Year N0. Enactments Extent of Repeal
(1) (2) (3) (4)
1899 II The Indian Stamp Act, 1899 in its application to the pre-Reorganisation State of Bombay excluding the transferred territories and to the Vidarbha Region and Kutch area of the state of Bombay. The whole except in so far as it relates to documents specified in Entry 91 of List I in the Seventh Schedule to the Constitution of India.
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