INDIAN STAMP ACT, 1899 (ANDHRA PRADESH AMENDMENT)

 

Section 1 - Short title, extent and commencement

(1)     This Act may be called the Indian Stamp Act, 1899.

(2)     [1][It extends to the whole of India [2][***]:

Provided that it shall not apply to [3][the territories which, immediately before the 1st November, 1956, were comprised in Part B States] (excluding the State of Jammu and Kashmir)  except to the extent to which the provisions of this Act relate to rates of stamp-duty in respect of the documents specified in Entry 91 of List I in the Seventh Schedule to the Constitution.]

(3)     It shall come into force on the first day of July, 1899.

[STATE AMENDMENTS

[Andhra Pradesh

[4][In the proviso to sub-section (2) of section 1 of the principal Act, for the expression "(excluding the State of Jammu and Kashmir)", the expression "[excluding the State of Jammu and Kashmir and the territories specified in sub-section (1) of section 3 of the States Reorganisation Act, 1956 (Central Act 37 of 1956)]" shall be substituted.]

Section 2 - Definitions

In this Act, unless there is something repugnant in the subject or context, -

(1)     [5]["allotment list" means a list containing details of allotment of the securities intimated by the issuer to the depository under sub-section (2) of section 8 of the Depositories, Act, 1996 (22 of 1996);

(1A) "banker" includes a bank and any person acting as a banker;]

(2)     "Bill of exchange" means a bill of exchange as defined by the Negotiable Instruments Act, 1881, and includes also a hundi, and any other document entitling or purporting to entitle any other person of, or to draw upon any other person for, any sum of money;

(3)     "Bill of exchange payable on demand" includes-

(a)      an order for the payment of any sum of money by a bill of exchange or promissory note, or for the delivery of any bill of exchange or promissory note in satisfaction of any sum of money, or for the payment of any sum of money out of any particular fund which may or may not be available, or upon any condition or contingency which may or may not be performed or happen;

(b)      an order for the payment of any sum of money weekly, monthly, or at any other stated period; and

(c)      a letter of credit, that is to say, any instrument by which one person authorises another to give credit to the person in whose favour it is drawn;

(4)     "Bill of lading" includes a "through bill lading", but does not include a mate's receipt;

(5)     "Bond" includes [6][but does not include a debenture]-

(a)      any instrument whereby a person obliges himself to pay money to another, on condition that the obligation shall be void if a specified act is performed, or is not performed, as the case may be;

(b)      any instrument attested by a witness and not payable to order or bearer, whereby a person obliges himself to pay money to another; and

(c)      any instrument so attested, whereby a person obliges himself to deliver grain or other agricultural produce to another;

(6)     "Chargeable" means, as applied to an instrument executed or first executed after the commencement of this Act, chargeable under this Act, and, as applied to any other instrument, chargeable under the law in force in [7][India] when such instrument was executed or, where several persons executed the instrument at different times, first executed;

(7)     "Cheque" means a bill of exchange drawn on a specified banker and not expressed to be payable otherwise than on demand;

[8][(7A) "clearance list" means a list of transactions of sale and purchase relating to contracts traded on the stock exchanges submitted to a clearing corporation in accordance with the law for the time being in force in this behalf;

(7B) "clearing corporation" means an entity established to undertake the activity of clearing and settlement of transactions in securities or other instruments and includes a clearing house of a recognised stock exchange;]

(8)     [9][***]

(9)     "Collector"-

(a)      means, within the limits of the towns of Calcutta, Madras and Bombay, the Collector of Calcutta, Madras and Bombay respectively, and, without those limits, the Collector of a district; and

(b)      includes a Deputy Commissioner and any officer whom [10][the [11][State Government]] may, by notification in the Official Gazette, appoint in this behalf;

(10)   [12]["Conveyance" includes a conveyance on sale, every instrument and every decree or final order of any Civil Court, by which property, whether moveable or immovable, or any estate or interest in any property is transferred to, or vested in or declared to be of any other person, inter vivos, and which is not otherwise specifically provided for by Schedule I or Schedule 1-A, as the case may be.

[13][(10A) "debenture" includes--

(i)       debenture stock, bonds or any other instrument of a company evidencing a debt, whether constituting a charge on the assets of the company or not;

(ii)      bonds in the nature of debenture issued by any incorporated company or body corporate;

(iii)     certificate of deposit, commercial usance bill, commercial paper and such other debt instrument of original or initial maturity upto one year as the Reserve Bank of India may specify from time to time;

(iv)    securitised debt instruments; and

(v)      any other debt instruments specified by the Securities and Exchange Board of India from time to time;

(10B) "depository" includes--

(a)      a depository as defined in clause (e) of sub-section (1) of  section 2 of the Depositories Act, 1996 (22 of 1996); and

(b)      any other entity declared by the Central Government, by notification in the Official Gazette, to be a depository for the purposes of this Act;]

(11)   "Duly stamped", as applied to an instrument, means that the instrument bears an adhesive or impressed stamp of not less than the proper amount and that such stamp has been affixed or used in accordance with the law for the time being in force in [14][India];

(12)   "Executed" and "execution" used with reference to instruments mean "signed" and "signature" [15][and includes attribution of electronic record within the meaning of section 11 of the Information Technology Act, 2000 (21 of 2000)];

[16][***]

(13)   "Impressed stamp" includes-

(a)      labels affixed and impressed by the proper officer; and

(b)      stamps embossed or engraved on stamped paper

[17][(13A) "India" means the territory of India excluding the State of Jammu and Kashmir ;]

(14)   [18]["instrument" includes--

(a)      every document, by which any right or liability is, or purports to be, created, transferred, limited, extended, extinguished or recorded;

(b)      a document, electronic or otherwise, created for a transaction in a stock exchange or depository by which any right or liability is, or purports to be, created, transferred, limited, extended, extinguished or recorded; and

(c)      any other document mentioned in Schedule I, but does not include such instruments as may be specified by the Government, by notification in the Official Gazette;]

(15)   "Instrument of partition" means any instrument where by co-owners of any property divide or agree to divide such property in severalty, and includes also a final order for effecting a partition passed by any Revenue-authority or any Civil Court and an award by an arbitrator directing a partition [19][and a memorandum regarding past partition;]

[20][(15A) "issuer" means any person making an issue of securities;]

(16)   "Lease" means a lease of immovable property and includes also-

(a)      a patta;

(b)      a kabuliyat or other undertaking in writing, not being a counter-part of a lease, to cultivate, occupy or pay or deliver rent for, immovable property;

(c)      any instrument by which tolls of any description are let;

(d)      any writing on an application for a lease intended to signify that the application is granted:

[21][(16A) "marketable security" means a security capable of being traded in any stock exchange in India;

(16B) "market value", in relation to an instrument through which--

(a)      any security is traded in a stock exchange, means the price at which it is so traded;

(b)      any security which is transferred through a depository but not traded in the stock exchange, means the price or the consideration mentioned in such instrument;

(c)      any security is dealt otherwise than in the stock exchange or depository, means the price or consideration mentioned in such instrument;]

(17)   "Mortgage-deed" includes every instrument whereby, for the purpose of securing money advanced, or to be advanced, by way of loan, or an existing or future debt, or the performance of an engagement, one person transfers, or creates, to, or in favour of, another, a right over or in respect of specified property;

(18)   "Paper" includes vellum, parchment or any other material on which an instrument may be written;

(19)   "Policy of insurance" includes-

(a)      any instrument by which one person, in consideration of a premium, engages to indemnify another against loss, damage or liability arising from an unknown or contingent event;

(b)      a life-policy, and any policy insuring any person against accident or sickness, and any other personal insurance;[22][***]

[23][***]

[24][(19A) "policy of group insurance" means any instrument covering not less than fifty or such smaller number as the Central Government may approve, either generally or with reference to any particular case, by which an insurer, in consideration of a premium paid by an employer or by an employer and his employees jointly, engages to cover, with or without medical examination and for the sole benefit of persons other than the employer, the lives of all the employees or of any class of them, determined by conditions pertaining to the employment, for amounts of insurance based upon a plan which precludes individual selection ;]

(20)   "Policy of sea-insurance" or "sea-policy''-

(a)      means any insurance made upon any ship or vessel (whether for marine or inland navigation), or upon the machinery, tackle or furniture of any ship or vessel, or upon any goods, merchandise or property of any description whatever on board of any ship or vessel, or upon the freight of, or any other interest which may be lawfully insured in, or relating to, any ship or vessel; and

(b)      includes any insurance of goods, merchandise or property for any transit which includes, not only a sea risk within the meaning of clause (a), but also any other risk incidental to the transit insured from the commencement of the transit to the ultimate destination covered by the insurance;

Where any person, in consideration of any sum of money paid or to be paid for additional freight or otherwise, agrees to take upon himself any risk attending goods, merchandise or property of any description whatever while on board of any ship or vessel, or engages to indemnify the owner of any such goods, merchandise or property from any risk, loss or damage, such agreement or engagement shall be deemed to be a contract for sea-insurance;

(21)   "Power of attorney" includes any instrument (not charge able with a fee under the law relating to court-fees for the time being in force) empowering a specified person to act for and in the name of the person executing it;

(22)   "Promissory note" means a promissory note as defined by the Negotiable Instruments Act, 1881;

It also includes a note promising the payment of any sum of money out of any particular fund which may or may not be available, or upon any condition or contingency which may or may not be performed or happen;

(23)   "Receipt" includes any note, memorandum or writing-

(a)      whereby any money or any bill of exchange cheque or promissory note is acknowledged to have been received, or

(b)      whereby any other moveable property is acknowledged to have been received in satisfaction of a debt, or

(c)      where by any debt or demand, or any part of debt or demand, is acknowledged to have been satisfied or discharged, or

(d)      which signifies or imports any such acknowledgement, and whether the same is or is not signed with the name of any person; [25][***]

[26][(23A) "securities" includes--

(i)       securities as defined in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956);

(ii)      a "derivative" as defined in clause (a) of section 45U of the Reserve Bank of India Act, 1934 (2 of 1934);

(iii)     a certificate of deposit, commercial usance bill, commercial paper, repo on corporate bonds and such other debt instrument of original or initial maturity upto one year as the Reserve Bank of India may specify from time to time; and

(iv)    any other instrument declared by the Central Government, by notification in the Official Gazette, to be securities for the purposes of this Act;]

(24)   "Settlement" means any non-testamentary disposition, in writing, of moveable or immovable property made-

(a)      in consideration of marriage,

(b)      for the purpose of distributing property of the settler among his family or those for whom he desire to provide, or for the purpose of providing for some person dependent on him, or

(c)      for any religious or charitable purpose;

and includes an agreement in writing to make such a disposition [27][and, where any such disposition has not been made in writing, any instrument recording, whether by way of declaration of declaration of trust or otherwise, the terms of any such disposition]; [28][***]

(25)   [29]["Soldier" includes any person below the rank of non-commissioned officer who is enrolled under the Indian Army Act, 1911] [30][[31][***]]

(26)   [32]["Stamp" means any mark, seal or endorsement by any agency or person duly authorised by the State Government, and includes an adhesive or impressed stamp, for the purposes of duty chargeable under this Act;

(27)   [33]["stock exchange" includes--

(i)       a recognised stock exchange as defined in clause (f) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956); and

(ii)      such other platform for trading or reporting a deal in securities, as may be specified by the Central Government, by notification in the Official Gazette, for the purposes of this Act.]

[STATE AMENDMENTS

[ANDHRA PRADESH

[34][In the Indian Stamp Act, 1899 ( Central Act II of 1899) (hereinafter referred to as the principal Act) as in the force in the State of Andhra Pradesh in section 2 in clause (15), the following words shall be added at the end, namely :?

"and a memorandum regarding past partition."]

[35][In the Indian Stamp Act, 1899 ( Central Act 2 of 1989) (hereinafter referred to as the principal Act), as in force in the State of Andhra Pradesh, in section 2, in sub-section (13), after clause (b), the following clause shall be added, namely:-

"(c)?? impression by franking machine or any other such machine as the State Government or the Central Government, as the case may be, by notification in the Official Gazette, specify."]

[36][In the Indian Stamp Act, 1899 (Central Act II of 1899) (hereinafter referred to as the principal Act), as in force in the State of Andhra. Pradesh., in section 2, in clause (10), after the words "or final order of any Civil Court,", the words "every order made by the High Court under section 394 of the Companies Act, 1956 (Central Act I of 1956) in respect of amalgamation or merger of companies,", shall be inserted.]

[37][In the Indian Stamp Act, 1899 as in force in the State of Andhra Pradesh :--

(1) ??in clause (24) of section 2, after the words "movable or immovable property", the words "whether by way of declaration of trust or otherwise" shall be inserted;]

[38][In section 2 of the Indian Stamp (Andhra Pradesh Amendment) Act, 1971, for the expression "the Indian Stamp Act, 1899", the expression "the Indian Stamp Act, 1899 as amended by the Indian Stamp (Andhra Pradesh Amendment) Act, 1974 " shall be substituted.]

Section - 3A.

(1)     There shall be charged, levied and paid to the Government of Assam, Besides dues payable under any law for the time being in force including Section 3 of this Act, a surcharge, hereinafter referred o as Stamp Surcharge on the instrument mentioned in the following items of Schedule I to the principal Act, namely,--

Item Nos. 1-10, 12, 15-20, 22-26, 28, 29, 31-36, 38-46, 48, 50-51, 54-61 and 63-65 :

Provided that the surcharge shall not be payable in respect of instrument exempted by Section 3.

(2)     The rate of Stamp Surcharge shall be Twenty-five paise per instrument.

(3)     The Stamp Surcharge shall be payable as if it were a duty under Section 3 and the provisions of this Act including the Rules thereunder shall accordingly apply; and the authorities for the time being empowered to collect and enforce payment of Stamp duty shall, unless otherwise provided for by or under this Act, within their respective jurisdiction for purposes of stamp duty accordingly collect and enforce payment of stamp duty :

Provided that the Government of Assam may, for facilitating implementation, by notification in the official Gazette, direct that in any case or class of cases the provisions of this Act including the rules thereunder shall apply subject to such indications not inconsistent with the provisions of this Section and as may be specified in such notification.

(4)     Notwithstanding anything contained in sub-section (3), the Government of Assam may make Rules generally for securing the payment of the Stamp Surcharge and carrying into effect the provisions of sub-sections (1) and (2) in particular for ensuring the proper maintenance and rendering of accounts of the Stamp Surcharge."]

 

ANDHRA PRADESH

[39][In clauses (aa) and (bb) of the first proviso to section 3 of the principal Act, for the words "State of Andhra", the words "State of Andhra Pradesh" shall be substituted.]

Section 4 - Several instruments used in single transaction of sale mortgage or settlement

(1)     Where, in the case of any sale, 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, mortgage or settlement, and each of the other instruments shall be chargeable with a duty of one rupee instead of the duty (if any) prescribed for it in that Schedule.

(2)     The parties may determine for themselves which of the instrument so employed shall, for the purposes of sub-section (1), be deemed to be the principal instrument:

Provided that the duty chargeable on the instrument so determined shall be the highest duty which would be chargeable in respect of any of the said instruments employed.

(3)     [40][Notwithstanding anything contained in sub-sections (1) and (2), in the case of any issue, sale or transfer of securities, the instrument on which stamp-duty is chargeable under section 9A shall be the principal instrument for the purpose of this section and no stamp-duty shall be charged on any other instruments relating to any such transaction.]

 

[ANDHRA PRADESH

[41][?(2) in sub-section (1) of section 4 and in the proviso to section 6, for the words "four rupees, fifty paise", the words "five rupees" shall be substituted;]

[42][In sub-section (1) of section 4 and the proviso to section 6 of the principal Act, for the words "one rupee eight annas" which stand modified to "three rupees" by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words "three rupees" shall be substituted.]

Section 6 - Instruments coming with in several descriptions in schedule I

Subject to the provisions of the last preceding section, 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 one rupee a counter part or duplicate of any instrument chargeable with duty and in respect of which the proper duty has been paid.

STATE AMENDMENTS

ANDHRA PRADESH

[43][In sub-section (1) of section 4 and the proviso to section 6 of the principal Act, for the words "one rupee eight annas" which stand modified to "three rupees" by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words "three rupees" shall be substituted.]

Section 9 - Power to reduce, remit or compound duties

(1)     [44][[45][The [46][***]Government;] 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 [47][the territories under its administration], 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 [48][of policies of insurance and] in the case of issues by any incorporated company or other body corporate inserted by Act 23 of 2004, section 117 (w.e.f. 10.09.2004) [49][or of transfers (where there is a single transferee, whether incorporated or not)] of debentures, bonds or other marketable securities.]

(2)     [50][In this section the expression "the Government" means,-

(a)      in relation to stamp-duty in respect of bills of exchange, cheques, promissory notes, bills of lading, letters of credits, policies of insurance, transfer of shares, debentures, proxies and receipts, and in relation to any other stamp-duty chargeable under this Act and falling within entry 96 in List I in the [51][Seventh Schedule to the Constitution, except the subject matters referred to in clause (b) of sub-section (1).]

(b)      Save as aforesaid, the State Government.]

(c)      [52][Seventh Schedule to the Constitution, except the subject matters referred to in clause (b) of Sub-section (1), the Central Government;]

STATE AMENDMENTS

[ANDHRA  PRADESH

[53][In section 9 of the principal Act,-

(i)       in sub-section (1), in the opening portion for the words "The Government may by rule or order published in the Official Gazette,-", the words "The Government if satisfied that it is necessary to do so in the public interest, may, by rule or order published in the Official Gazette,-", shall be substituted;

(ii)      in clause (b), for the words "bonds or other marketable securities.", the words "bonds, shares or policies of insurances, proxies and receipts or other marketable securities.", shall be substituted;

(iii)     in sub-section (2), for clause (b), the following clause shall be substituted, namely:-

"(b)? save as aforesaid and in respect of clause (b) of sub-section (1), the State Government.]

Section 19 - Bills and notes drawn out of India

The first holder in [54][India] of any bill of exchange [55][payable otherwise than on demand], [56][***] or promissory note drawn or made out of [57][India] shall, before he presents the same for acceptance or payment, or endorses, transfers or otherwise negotiates the same in [58][India], affix thereto the proper stamp and cancel the same:

Provided that-

(a)      if, at the time any such bill of exchange [59]or note comes into the hands of any holder thereof in [60][India], the proper adhesive stamp is affixed thereto and cancelled in manner prescribed by section 12, and such holder has no reason to believe that such stamp was affixed or cancelled otherwise than by the person and at the time required by this Act, such stamp shall, so far as relates to such holder, be deemed to have been duly affixed and cancelled;

(b)      nothing contained in this proviso shall relieve any person from any penalty incurred by him for omitting to affix or cancel a stamp.

[STATE AMENDMENTS

ANDHRA PRADESH

[61][(3) for section 19-A, the following section shall be substituted, namely :--

19-A Payment of duties on certain instruments liable to increased duty under clause (bb) of section 3

"Where any instrument (other than the one in respect of the documents specified in entry 91 of List I in the Seventh Schedule to the Constitution) has become chargeable in any part of India other than the State of Andhra Pradesh with duty under the stamp law in force in that part and thereafter becomes chargeable with a higher rate of duty in the said State under clause (bb) of the first proviso to section 3--

(i)       notwithstanding anything in the first proviso to section 3, the amount of duty chargeable on such instrument shall be the amount chargeable on it under Schedule 1-A less the amount of duty, if any, already paid on it in that part;

(ii)      in addition to the stamps, if any, already affixed thereto, such instrument shall be stamped with the stamps necessary for the payment of the amount of duty chargeable on it under clause (i) in the same manner and at the same time and by the same persons as though such instrument were an instrument received in India for the first time at the time when it became chargeable with the higher duty; and

(iii)     the provisions contained in clause (b) or clause (c), as the case may be, of the proviso to sub-section (3) of section 32 shall, with the necessary modifications, apply to such instrument, but the provisions contained in clause (a) of the said proviso shall not apply there to";]

[62][In section 19-A of the principal Act,--

(i)       in the opening portion, for the words "any instrument," the words, brackets and figures "any instrument (other than the one in respect of the documents specified in entry 91 of List I in the Seventh Schedule to the Constitution)" shall be substituted;

(ii)      for the words "State of Andhra", the words "State of Andhra Pradesh" shall be substituted.]

Section 23A - Certain instruments connected with mortgages of marketable securities to be chargeable as agreements

[63][23A. Certain instruments connected with mortgages of marketable securities to be chargeable as agreements

(1)     Where an instrument (not being a promissory note or bill of exchange)-

(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, in tended as a security, of any marketable Security, it shall be chargeable with duty as if it were an agreement or memorandum of an agreement chargeable with duty under [64][Article No. 5 (c)] of Schedule I.

(2)     A release or discharge of any such instrument shall only be chargeable with the like duty. ]

STATE AMENDMENTS

ANDHRA PRADESH

[65][In clause (b) of sub-section (1) of section 23-A of the principal Act, for the expression "article No. 4 (c)", the expression "Article 5 (c)" shall be substituted.]

Section 24 - How transfer in consideration of debt, or subject to future payment, etc. to be charged

Where any property is transferred to any person in consideration, wholly or in part, of any debt due to him, or subject either certainly or contingently to the payment or transfer of any money or stock, whether being or constituting a charge or incumbrance upon the property or not, such debt, money or stock is to be deemed 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 shall apply to any such certificate of sale as is mentioned in Article No. 18 of Schedule I.

Explanation. ? In the case of a sale of property subject to a mortgage or other incumbrance, any unpaid mortgage money or money charged, together with the interest (if any) due on the same, shall be deemed to be part of the consideration for the sale:

Provided that where property subject to a mortgage is transferred to the mortgage, he shall be entitled to deduct from the duty payable on the transfer the amount of any duty already paid in respect of the mortgage.

[STATE AMENDMENTS

ANDHRA PRADESH

[66][In section 24 of the Indian Stamp Act, 1899 (hereinafter referred to as the principal Act),--

(i)       for the expression "in respect whereof the transfer is chargeable with ad valorem duty", the expression "and the transfer is chargeable with ad valorem duty, in respect of the said consideration or the market value of the property transferred, whichever is higher", shall be substituted;

(ii)      omit the illustrations thereunder.]

Section 27 - Facts affecting duty to be set forth in instrument

The consideration (if any) and all other facts and circumstances affecting the chargeability of any instrument with duty, or the amount of the duty with which it its chargeable, shall be fully and truly set forth therein.

[STATE AMENDMENTS

ANDHRA PRADESH

[67][In section 27 of the principal Act, for the words and brackets "The consideration (if any)", the words "The consideration, if any, the market value of the property" shall be substituted.]

Section 28 - Direction as to duty in case of certain conveyances

(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, the consideration shall be apportioned in such manner as the parties think fit, provided that a distinct consideration 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 distinct consideration.

(2)     Where property contracted to be purchased for one consideration for the whole, by two or more person jointly, or by any person for himself and others, or wholly for others, is conveyed in parts by separate instruments to 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 part of the consideration therein specified.

(3)     Where a person, having contracted for the purchase of an property but not having obtained a conveyance thereof, contracts to sell the same to any other person and the property is in consequence conveyed immediately to the sub-purchaser the conveyance shall be chargeable with ad valorem duty in respect of the consideration for the sale by the original purchaser to the sub-purchaser.

(4)     Where a person, having contracted for the purchase of an property but not having obtained a conveyance thereof, contracts to sell the whole, or any part thereof, to any other person or persons and the property is in consequence conveyed by the original seller to different persons in parts, the conveyance of each part sold to a sub-purchaser shall be chargeable with ad valorem duty in respect only of the consideration paid by such sub-purchaser, without regard to the amount or value of the original consideration; and the conveyance of the residue (if any) of such property to the original purchaser shall be chargeable with ad valorem duty in respect only of the excess of the original consideration over the aggregate of the considerations paid by the sub-purchaser:

Provided that the duty on such last-mentioned conveyance shall in no case be less than one rupee.

(5)     Where a sub-purchaser takes an actual conveyance of the interest of the person immediately selling to him, which is chargeable with ad valorem duty in respect of the consideration paid by him and is duly stamped accordingly, any conveyance to be afterwards made to him of the same property by the original seller shall be chargeable with a duty equal to that which would be chargeable on a conveyance for the consideration obtained by such original seller, or, where such duty would exceed five rupees, with a duty of five rupees.

[STATE AMENDMENTS

ANDHRA PRADESH

[68][In section 28 of the principal Act,--

(i)       in sub-section (1), for the portion beginning with the words "provided that" and ending with the words "such distinct consideration", the following shall be substituted, namely:--

"Provided that a distinct consideration for, and the market value of, each separate part are set forth in the conveyance relating thereto, and such conveyance shall be chargeable with ad valorem duty in respect of the distinct consideration for, or the market value of, each such part, whichever is higher";]

(ii)      [69][in sub-section (2), the following words shall be added at the end, namely:--

"or the market value of such separate part, which ever is higher'';

(iii)     in sub-section (3), the following words shall be added at the end, namely:--

"or the market value of the property, whichever is higher.";

(iv)    in sub-section (4), after the words " consideration paid by such sub-purchaser", the words " or the market value of such part, which-ever is higher" and after the words "aggregate of the considerations paid by the sub-purchasers", the words "or the market value of such residue, whichever is higher" shall be inserted;

(v)      in sub-section (5), after the words "the consideration paid by him" the words "or the market value of the property which is the subject-matter of the conveyance, whichever is higher", and after the words "the consideration obtained by such original seller", the words "or the market value of such property whichever is higher", shall be inserted.]

(vi)    [70][in section 28--

(a)      in the proviso to sub-section (4), for the words " one rupee", the words "five rupees" shall be substituted;

(b)      in sub-section (5), for the words "five rupees" in the two places where they occur, the words," fifteen rupees" shall be substituted;]

Section 31 - Adjudication as to proper stamp

(1)     When any instrument, whether executed or not and whether previously stamped or not, is brought to the Collector, and the person bringing it applies to have the opinion of that officer as to the duty (if any) with which it is chargeable, and pays a fee of such amount (not exceeding five rupees and not less than [71][fifty naye paise]) as the Collector may in each case direct, the Collector shall determine the duty (if any) with which, in his judgment, the instrument is chargeable.

(2)     For this purpose the Collector may require to be furnished with 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 may refuse to proceed upon any such application until such abstract and evidence have been furnished accordingly:

Provided that-

(a)      no evidence furnished in pursuance of this section shall be used against any person in any civil proceeding, except in an insure as to the duty with which the instrument to which it relates is chargeable; and

(b)      every person by whom any such evidence is furnished shall, on payment of the full duty with which the instrument to which it relates is chargeable, be relieved from any penalty which he may have incurred under this Act by reason of the omission to state truly in such instrument any of the facts or circumstances aforesaid.

[STATE AMENDMENTS

ANDHRA PRADESH

[72][?(5) in sub-section (1) of section 31, for the brackets and words "(not exceeding five rupees and not less than fifty naye paise)", the brackets and words "(not exceeding fifteen rupees and not less than five rupees)" shall be substituted;]

Section 32 - Certificate by Collector

(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 a 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 duty (stating the amount) with which it is chargeable has been paid.

(2)     When such instrument is, in his opinion, not chargeable with duty, the Collector shall certify in manner aforesaid that such instrument is not so chargeable.

(3)     Any instrument upon which an endorsement has been made under this section, shall be deemed to be duly stamped or not chargeable with duty as the case may be; and, if chargeable with duty, shall be receivable in evidence or otherwise, and may be acted upon and registered as if it had been originally duly stamped:

Provided that nothing in this section shall authorise the Collector to endorse-

(a)      any instrument executed or first executed in [73][India] and brought to him after the expiration of one month from the date of its execution or first execution, as the case may be:

(b)      any instrument executed or first executed out of [74][India] and brought to him after the expiration of three months after it has been first received in [75][India]; or

(c)      any instrument chargeable [76][with a duty not exceeding ten naye paise], or any bill of exchange or promissory note, when brought to him, after the drawing or execution thereof, on paper not duly stamped.

[STATE AMENDMENTS

[ANDHRA PRADESH

[77][In clause (c) of the proviso to sub-section (3) of section 32, in clause (a) of the proviso to section 35, in sub-section (1) of section 40 and in section 41 of the principal Act--

(i)       for the expression "article 34 (a)", the expression "article 36 (a)" shall be substituted;

(ii)      for the words "two annas" which stand modified to " four annas " by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words " twenty-five naye paise " shall be substituted.]

Section 35 - Instruments not duly stamped inadmissible in evidence, etc.

No instrument chargeable with duty 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 stamped :

Provided that--

(a)      any such instrument [78][shall] be admitted in evidence on payment of the duty with which the same is chargeable, or, in the case of an instrument insufficiently stamped, of the amount required to make up such duty, together with a penalty of five rupees, or, when ten times the amount of the proper duty or deficient portion thereof exceeds five rupees, of a sum equal to ten times such duty or portion ;

(b)      where any person from whom a stamped receipt could have been demanded, has given an unstamped receipt and such receipt, if stamped, would be admissible in evidence against him, then such receipt shall be admitted in evidence against him on payment of a penalty of one rupee by the person tendering it;

(c)      Where a contract or agreement of any kind is effected by correspondence consisting of two or more letters and any one of the letters bears the proper stamp, the contract or agreement shall be deemed to be duly stamped;

(d)      nothing herein contained shall prevent the admission of any instrument in evidence in proceeding in a Criminal Court, other than a proceeding under Chapter XII or Chapter XXXVI of the Code of Criminal Procedure 1898;

(e)      nothing hereing contained shall prevent the admission of any instrument in any Court when such instrument has been executed by or on behalf of [79][the [80][Government]] or where it bears the certificate of the Collector as provided by section 32 or any other provision of this Act.

[STATE AMENDMENTS

[ANDHRA PRADESH

[81][?(6) in section 35--

(a)      in proviso (a), for the words "five rupees", the words "fifteen rupees" shall be substituted;

(b)      in proviso (b), for the words "one rupee', the words "three rupees" shall be substituted;]

[82][In clause (c) of the proviso to sub-section (3) of section 32, in clause (a) of the proviso to section 35, in sub-section (1) of section 40 and in section 41 of the principal Act--

(i)       for the expression "article 34 (a)", the expression "article 36 (a)" shall be substituted;

(ii)      for the words "two annas" which stand modified to " four annas " by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words " twenty-five naye paise " shall be substituted.]

Section 40 - Collectors power to stamp instruments impounded

(1)     When the Collector impounds any instrument under section 33, or receives any instrument sent to him under section 38; sub- section (2), not being an instrument chargeable [83][with a duty not exceeding ten naye paise] only or a bill of exchange or promissory note, he shall adopt the following procedure:-

(a)      if he is of opinion that such instrument is duly stampeded 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 shall require the payment of the proper duty or the amount required to make up the same, together with a penalty of five rupees ; or, if he thinks fit, [84][an amount not exceeding] ten times the amount of the proper duty or of the deficient portion thereof, whether such amount exceeds or falls short of five rupees:

Provided that, when such instrument has been impounded only because it has been written in contravention of section 13 or section 14, the Collector may, if he thinks fit, remit the whole penalty prescribed by this section.

(2)     Every certificate under clause (a) of sub-section (1) shall, for the purposes of this Act, be conclusive evidence of the matters stated therein.

(3)     Where an instrument has been sent to the Collector under section 38, sub-section (2), the Collector shall, when he has dealt with it as provided by this section, return it to the impounding officer.

[STATE AMENDMENTS

[Andhra Pradesh

[85][In clause (c) of the proviso to sub-section (3) of section 32, in clause (a) of the proviso to section 35, in sub-section (1) of section 40 and in section 41 of the principal Act--

(i)       for the expression "article 34 (a)", the expression "article 36 (a)" shall be substituted;

(ii)      for the words "two annas" which stand modified to " four annas " by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words " twenty-five naye paise " shall be substituted.]

Section 41 - Instruments unduly stamped by accident

If any instrument chargeable with duty and not duly stamped, not being an instrument chargeable [86][with a duty not exceeding ten naye paise] only or a bill of exchange or promissory note, 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 40, receive such amount and proceed as next herein after prescribed.

[STATE AMENDMENTS

[Andhra Pradesh

[87][After section 41 of the principal Act, the following shall be inserted, namely- :

41-A. Recovery of, stamp duty no levied short levied.--

(1)     Where after the commencement of the Indian Stamp (Andhra Pradesh Amendment) Act, 1986, any instrument chargeable with duty has not been duly stamped and registered by any Registering Officer by mistake and remarked as such by the Collector or any audit party, the Collector may, within five years from the date of registration serve a notice on the person by whom the duty was payable requiring him to show cause why the proper duty or the amount required to make up the same should not be collected from him:

Provided that where the non-payment was by reason of fraud, collusion or any wilful mis-statement or suppression of facts on contravention of any of the provisions of this Act or the rules made thereunder with intent to evade payment of duty, the Collector may within ten years from the date of registration serve a notice on such person to show cause why the proper duty or the amount required to make up the same should not be collected from him.

(2)     The Collector or any officer specially authorised by him in this behalf shall, after considering the representation if any, made by the person on whom notice is served under sub-section (1), determine by an order, the amount of duty due from such person (not being in excess of the amount specified in the notice) and thereupon such person shall pay the amount as determined. On payment of the duty the Collector shall add a certificate under section .42.

(3)     Any person aggrieved by an order under subsection (2) may prefer an appeal before the Commissioner of Survey, Settlement and Land Records, Andhra Pradesh, Hyderabad within three months from the date of such order.

(4)     Any duty payable under this section shall be recovered as an arrear of land revenue.]

[88][In the Indian Stamp Act, 1899, (herein after referred to as the principal Act) as in force in the State of Andhra Pradesh, in section 41-A,-

(a)      in sub-section (1), in the proviso, for the words "the proper duty or the amount required to make up the same should not be collected from him", the words "the amount required to make up the deficit stamp duty should not be collected from him along with a penalty of three times of the deficit stamp duty", shall be substituted.

(b)      in sub-section (2),-

(i)       for the words "the amount of duty", the words" the amount of duty and the penalty", shall be substituted.

(ii)      for the word "duty" occurring at the end, the word "amount" shall be substituted.

(c)      in sub-section (4) for the word "duty", the word "amount" shall be substituted.]

[89][In clause (c) of the proviso to sub-section (3) of section 32, in clause (a) of the proviso to section 35, in sub-section (1) of section 40 and in section 41 of the principal Act--

(i)       for the expression "article 34 (a)", the expression "article 36 (a)" shall be substituted;

(ii)      for the words "two annas" which stand modified to " four annas " by the Madras Stamp (Increase of Duties) Act, 1943 (Madras Act XVI of 1943) without textual amendment of the principal Act, the words " twenty-five naye paise " shall be substituted.]

Section 42 - Endorsement of instruments on which duty has been paid under section 35, 40 or 41

(1)     When the duty and penalty (if any), leviable in respect of any instrument have been paid under section 35, section 40 or section 41, 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)     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 delivered on his application in this behalf to the person form whose possession it came into the hands of the officer impounding it, or as such person may direct:

Provided that--

(a)      no instrument which has been admitted in evidence upon payment of duty and a penalty under section 35, shall be so delivered before the expiration of one month from the date of such impounding, or if the Collector has certified that its further detention is necessary and has not cancelled such certificate;

(b)      nothing in this section shall affect the [90]Code of Civil Procedure, section 144, clause 3.

[STATE AMENDMENTS

[Andhra Pradesh

[91][In section 42 of the principal Act,?

(a)      for the expression "under section 35, section 40 or 41", the expression "under section 35, section 40, section 41 or 41-A" shall be substituted;

(b)      in the marginal heading for the expression "section 35, 40 or 41, the expression "section 35, 40, 41 or 41-A" shall be substituted.]

Section 47 - Power of payer to stamp bills and promissory notes received by him unstamped

When any bill of exchange [92][or promissory note] chargeable [93][with a duty not exceeding ten naye paise] is presented for payment unstamped, the person to whom it is so presented may affix thereto the necessary adhesive stamp, and, upon cancelling the same in manner hereinbefore provided, may pay the sum payable upon such bill [94][or note], and may charge the duty against the person who ought to have paid the same, or deduct it from the sum payable as aforesaid, and such bill [95][or note], shall, so far as respects the duty, be deemed good and valid :

Provided that nothing herein contained shall relieve any person from any penalty or proceeding to which he may be liable in relation to such bill [96][or note].

[STATE AMENDMENTS

ANDHRA PRADESH

[97]In section 47-A of the principal Act for the words "or settlement", the words "settlement or, release" and for the words "he may, after registering such instrument, refer the matter to the Collector for determination of the market value of such property and the proper duty payable thereon", the words "he may, keep pending such instrument and refer the matter to the Collector for determination of market value of such property and proper duty payable thereon", shall respectively be substituted.]

[98][In the Indian Stamp Act, 1899( Central Act II of 1899) as in force in the State of Andhra Pradesh, in section 47-A,-

(a)      after sub-section (3), the following sub-section shall be inserted, namely:-

"(3-A) (i) The Inspector General may suo-motu, call for and examine the record of any order passed or proceeding recorded by the Collector under sub-section (3), and if such order or proceeding recorded is found leading to loss of legitimate revenue due to disregard of market value by the Collector, based on mistake, omission, or failure to take any factual evidence effecting the market value of the property, may make such enquiry, or cause such enquiry and inspection of the property to be made and subject to the provisions of this Act, may initiate proceedings to revise, modify or set aside such order or proceeding and may pass such order in reference thereto as he thinks fit:

Provided that the powers conferred under this clause shall be invoked within a period of six months from the date of the order or proceeding issued by the Collector under sub-section (3);

(ii) the power under clause (i) shall not be exercised by the authority specified therein in respect of any issue or question which is the subject matter of an appeal before, or which was decided on appeal by the appellate authority under subsection (5);

(iii) no order shall be passed under clause (i) enhancing any duty unless an opportunity has been given to the party to show cause against the proposed revision of market value and deficit stamp duty;

(iv) where any action under this sub-section has been deferred on account of any stay order granted by the Court in any case, or by reason of the fact that another proceeding is pending before the Court involving a question of law having a direct bearing on the order or proceeding in question, the period during which the stay order was in force or such proceeding was pending shall be excluded in computing the period of six months specified in the proviso to clause (i) of this section for the purposes of exercising the power Under this subsection.";

(b)      after sub-section (4), the following sub-section shall be inserted namely:-

"(4-A) Any person aggrieved by the order of the Inspector General under sub-section (3-A) may appeal to the High Court within a period of two months from the date of receipt of such order.".]

[99][In section 47-A of the principal Act, for sub-section (3-A), the following shall he substituted, namely:-

"(3A) (i) The Inspector General may suo moto, call for and examine the record of any order passed or proceedings recorded by the Collector under sub-section (2) or sub-section (3) and if such order or proceeding recorded is found leading to loss of legitimate revenue due to disregard of market value by the Collector based on mistake, omission, or failure to take into account, any direct or collateral factual evidence affecting the market value of the property involved in the case referred under sub-section (2) or sub-section (3) as the case may be may make such enquiry or cause such enquiry and inspection of the property to be made and subject to the provision of this Act may initiate proceedings to revise, modify or set aside such order or proceeding and may pass such order in reference thereto as he thinks fit determining the market value and corresponding deficit stamp duty:

Provided that such action for revision shall be initiated within a period of one year from the date of the order or proceedings issued by the Collector acting under sub-section (2) or sub-section(3);

(ii) the power under clause (i) shall not be exercised by the authority specified therein in respect of any issue or question which is the subject matter of an appeal before, or which was decided an apneal by, the appellate authority under sub-section (5);

(iii) no order shall be passed under clause (i) enhancing any duty unless an opportunity has been given to the party to show cause against the proposed revision of market value and deficit Stamp Duty;

(iv) where any action under this sub-section has been deferred in respect of any reference under sub-section (2) or sub-section (3) on account of any stay order granted by the court in any case or by reason of the fact that another proceeding is pending before the court involving a question of law having a direct bearing on the order or proceeding in question, the period during which the stay order was in force or such proceeding was pending shall be excluded in computing the period of one year specified in the proviso to clause (i) of this section for the purpose of exercising the power under this sub-section.".]

[100][After section 47 of the principal Act, the following section shall be inserted, namely:--

"47-A. Instruments of conveyance, etc. under valued how to be dealt with.

(1)     Where the registering officer appointed under the Registration Act, 1908 (Central Act 16 of 1908), while registering any instrument of conveyance, exchange, gift, partition or settlement, has reason to believe that the market value of the property which is the subject-matter of such instrument has not been truely set forth in the instrument, he may, after registering such instrument, refer the matter to the Collector for determination of the market value of such property and the proper duty payable thereon.

 

(2)     On receipt of a reference under sub-section (1), the Collector shall, after giving the parties opportunity of making their representation and after holding an enquiry in such manner as may be prescribed by rules made under this Act, determine the market value of the property which is the subject-matter of such instrument and the duty as aforesaid. The difference, if any, in the amount of duty, shall be payable by the person liable to pay the duty.

 

(3)     The Collector may suo motu within two years from the date of registration of such instrument, not already referred to him under sub-section (1), call for and examine the instrument for the purpose of satisfying himself as to the correctness of the market value of the property which is the subject-matter of such instrument and the duty payable thereon and if, after such examination, he has reason to believe that the market value of such property has not been truely set forth in the instrument, he may determine the market value of such property and the duty as aforesaid in accordance with the procedure provided for in sub-section (2). The difference, if any, in the amount of duty, shall be payable by the person liable to pay the duty:

Provided that nothing in this sub-section shall apply to any instrument registered before the date of commencement of the Indian Stamp (Andhra Pradesh Amendment) Act, 1971.

(4)     Any person aggrieved by an order of the Collector under sub-section (2) or sub-section (3) may appeal to the appellate authority specified in sub-section (5). All such appeals shall be preferred within such time and shall be heard and disposed of in such manner, as may be prescribed by rules made under this Act.

 

(5)     The appellate authority shall be,--

(i)       in the cities of Hyderabad and Secunderabad, the City Civil Court;

(ii)      elsewhere--

(a)      the Subordinate Judge or if there are more than one Subordinate Judge, the Principal Sub-ordinate Judge, having jurisdiction over the area in which the property concerned is situated; or

(b)      if there is no such Subordinate Judge, the District Judge having jurisdiction over the area aforesaid.

(6)     For the purposes of this Act, market value of any property shall be estimated to be the price which in the opinion of the Collector or the appellate authority, as the case may be, such property would have fetched or would fetch if sold in the open market on the date of execution of the instrument of conveyance, exchange, gift, partition or settlement.".]

Section 48 - Recovery of duties and penalties

All duties, penalties and other sums required to be paid under this Chapter may be recovered by the Collector by distress and sale of the movable property of the person from whom the same are due, or by any other process for the time being in force for the recovery of arrears of land-revenue.

[STATE AMENDMENTS

ANDHRA PRADESH

[101][Section 48 of the principal Act shall be renumbered as sub-section (1) thereof, and after sub-section (1) as so renumbered, the following shall be added, namely;-

"(2) Ail duties, penalties and other sums required to be paid under this Chapter, shall be a charge on the properties of the person liable to pay the duties, penalties and other sums:

Provided that such a charge shall be deemed to be applicable to all cases which are pending recovery and to the proceedings initiated under sub-section (1).

(3)?? Notwithstanding anything contained in the Registration Act, 1908 (Central Act XVI of 1908), a note of such charge and its extinguishments shall be made in the indices prescribed therein and shall be deemed to be a notice under the said Act."]

Section 64 - Penalty for omission to comply with provisions of section 27

Any person who, with intent to defraud the Government,?

(a)      executes any instrument in which all the facts and circumstances required by section 27 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)      does any other act calculated to deprive the Government of any duty or penalty under this Act;

shall be punishable with fine which may extend to five thousand rupees.

[STATE AMENDMENTS

[Andhra Pradesh

[102][In the Indian Stamp Act, 1899, after Section 64, the following section shall be inserted, namely : --

" Recovery of amount of deficit stamp duty.--64-A 

(1)     Where any person liable to pay duty under this Act is convicted of an offence under Section 64 in respect of any instrument (not being an instrument specified in entry 91 of List 1 in the Seventh Schedule to the Constitution) the Magistrate shall, in addition to the punishment which may be imposed for such offence, recover summarily and pay over to the Collector, the amount of duty if any, due under this Act from such person in respect of that instrument and the Collector shall thereupon certify by endorsement on that instrument that proper duty has been levied in respect thereof :

Provided that if the person referred to in this sub-section has already paid any amount towards the duty payable under this Act in respect Of the instrument in relation to which such person was convicted, the Magistrate shall recover only the difference in the amount of duty.

(2)     The amount recoverable under sub-section (1) shall be recovered by the Magistrate, as if it were a fine imposed under the Code of Criminal Procedure 1973 ". Central Act 2 of 1974.]

Section 70 - Institution and conduct of prosecutions

(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 [103][the [104] [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 48.

[STATE AMENDMENTS

[Andhra Pradesh

[105][In section 70 of the principal Act, for subsection (2), the following sub-section shall be substituted, namely,-

"(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 by levying a compounding fee which shall include the deficit stamp duty, if any and a penalty of three times of the deficit stamp duty."]

Section 73 - Books, etc., to be open to inspection

Every public officer having in his 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 nay fraud or omission in relation to any duty, shall at all reasonable times permit any person authorised in writing by the Collector to inspect for such purpose the registers, books, papers, documents and proceedings, and to take such notes and extracts as be may deem necessary, without fee or charge.

[STATE AMENDMENTS

[Andhra Pradesh

[106][For section 73, of the principal Act, the following section shall be substituted, namely :?

73.  "Books, etc. to be kept open for inspection.--

(1)      Every public officer or any person having in his custody any registers, books, records, pa-documents or proceedings, the inspection where of may attend to secure any duty, or to prove or lead to the discovery of any fraud or omission in relation to any duty, shall at all reasonable times permit any person authorised in writing by the Collector to enter upon any premises and to inspect for such purposes the registers, books, records, papers, documents and proceedings, and to take such notes and extracts as he may deem necessary, without fee of charge and if necessary to seize them and impound the same under proper acknowledgement :

Provided that such seizure of any registers, books, records, papers, documents or other proceedings, in the custody of any Bank be made only after a notice of thirty days to make good the deficit stamp duty is given.

Explanation:?For the purposes of this proviso 'bank' means a banking company as defined in section 5 of the Banking Regulation Act (Central Act 10 of 1949, Central Act 23 of 1955) 1949 and includes the State Bank of India, constituted by the State Bank of India Act, 1955 a subsidiary bank as defined in the State Bank of India (Subsidiary Banks) Act (Central Act 38 of 1959) 1959, a corresponding new bank as defined in the Banking Companies (Acquisition and Transfer of Undertakings) Act (Central Act 5 of 1970) 1970 and in the Banking Companies (Acquisition and Transfer of Undertakings) Act (Central Act 40 of 1980) 1980, a Regional Rural Bank established under the Regional Rural Banks Act (Central Act 21 of 1976) 1976, the Industrial Development Bank of India established under the Industrial Development Bank of India Act (Central Act 18 of 1964) 1964, National Bank for Agriculture and Rural Development established under the National Bank for Agriculture and Rural Development Act (Central Act 61 of 1981) 1981, the Life Insurance Corporation of India established under the Life Insurance Corporation Act (Central Act 31 of 1956) 1956. The Industrial Finance Corporation of India established under the Industrial Finance Corporation Act, 1948, and such other financial or banking institution owned, controlled or managed by a State Government or the Central Government, as may be notified in this behalf by the Government.

(2)      Every person having in his custody or maintaining such registers, books, records, papers, documents or proceedings shall, when so required by the officer authorised under sub-section (1), produce them before such officer and at all reasonable times permit such officer to inspect them and take such notes and extracts as he may deem necessary.'

(3)      If, upon such inspection, the person so authorised is of opinion that any instrument is chargeable with duty and is not duly stamped, he shall require the payment of the proper duty or the amount required to make up the same from the person liable to pay the stamp duty; and in case of default the amount of the duty shall be recovered as an arrear of land revenue.]

[107]Section 76A - Delegation of certain powers

[108][[109]*** The State Government, may, by notification in the Official Gazette], delegate--

(a)      all or any of the powers conferred on it by sections 2(9), 33(3), (b), 70(1), 74 and 78 to the Chief Controlling Revenue-authority; and

(b)      all or any of the powers conferred on the Chief Controlling Revenue-authority by sections 45 (1) (2), 56 (1) and 70 (2) to such subordinate Revenue-authority as may be specified in the notification.]

[STATE AMENDMENTS

[Andhra Pradesh

[110][In the Indian Stamp Act, 1899 ( Central Act II or 1899) as force in the State of Andhra Pradesh, section 76-A,

(i)       in clause (a), the word "and" snail be omitted;]

(ii)      [111][in clause (b), the word "and" shall be added at the end;

(iii)     after clause (b), the following the shall be inserted; namely:-

all or any of the powers confreres on it by section 9(1) (b) to the Commissioner and Inspector General of Registration and Stamps."]

Section 78 - Act to be translated and sold cheaply

Every State Government shall make provision for the sale of translations of this Act in the principal vernacular languages of the territories administered by it at a price not exceeding [112][twenty-five naye paise] per copy.

[STATE AMENDMENTS

[ANDHRA PRADESH

[113][For section 78 of the principal Act, the following section shall be substituted, namely:--

"78. Duty to be collected or allowance to be made.--

In the determination of the amount of duty payable or of allowance to be made under this Act, any fraction of five naye paise shall be rounded off to the next higher five naye paise.".]]]

Schedule Andhra Pradesh - SCHEDULE I

SCHEDULE-I[114]

Stamp Duty on Instruments

(See Section 3, first proviso)

[169][Provided that the rates of stamp duty specified in column (2) of the above Table, on the Bills of Exchange for items (b) and (c) of Article 13 and on promissory note for item (b) of Article 49 of the Schedule I of the Indian Stamp Act, 1899 (2 of 1899), as referred to in the said Table, shall not apply to usance bills of exchange or promissory notes drawn or made for securing finance from the Reserve Bank of India, Industrial Finance Corporation of India, Industrial Development Bank of India, Small Industries Development Bank of India, State Financial Corporations, Commercial Banks and Co-operative Banks for (a) bona fide commercial or trade transactions, (b) seasonal agricultural operations or the marketing of crops, or (c) production or marketing activities of cottage and small scale industries and such instruments shall bear the rate of stamp duty at one-fifth of the rate specified in the said Table against items (b) and (c) of Article 13 and item (b) of Article 49, as referred to in the said Table:

Provided further that the rates of stamp duty specified in column (2) of the said Table, on promissory note for item (b) of Article 49 of the Schedule I of the Indian Stamp Act, 1899 (2 of 1899), as referred to in the said Table, shall also not apply to promissory note in the form of commercial paper and such instruments shall bear the rate of stamp duty at one-fifth of the rate specified in the said Table against item (b) of Article 49, as referred to in the said Table.

Explanation I - For the purposes of the first proviso--

(a)      the expression "agricultural operations" includes animal husbandry and allied activities jointly undertaken with agricultural operations;

(b)      "crops" include products of agricultural operations;

(c)      the expression "marketing of crops" includes the processing of crops prior to marketing by agricultural producers or any organization of such producers.

Explanation 2:- For the purpose of the second proviso "commercial paper" means an unsecured money market instrument issued, in the form of a promissory note, in accordance with the guidelines issued by the Reserve Bank of India from time to time.

Explanation 3:- The duty chargeable shall, wherever necessary, be rounded off to the next five paise.]

Schedule Andhra Pradesh - SCHEDULE I

A

 SCHEDULE I-A

(As Applicable to Andhra Pradesh)

Stamp duty on certain instruments under the Indian Stamp (Andhra Pradesh Amendment) Act, 1922

(See Section 3, First Proviso)

Schedule Andhra Pradesh - SCHUDELE II

SCHEDULE II

Enactments repealed -  Repealed by the Repealing and Amending Act, 1914 (10 of 1914), S. 3 and Sch. II.