KARNATAKA STAMP (AMENDMENT)
ACT, 2011
Preamble - THE KARNATAKA STAMP (AMENDMENT) ACT, 2011
THE KARNATAKA STAMP (AMENDMENT) ACT, 2011
[Act NO. 16 of 2011]
a[18th March, 2011]
PREAMBLE
An Act
further to amend the Karnataka Stamp Act, 1957.
Whereas
it is expedient further to amend the Karnataka Stamp Act, 1957 (Karnataka Act
34 of 1957) for the purposes hereinafter appearing;
Be it
enacted by the Karnataka State Legislature in the sixty-second year of the
Republic of India as follows:-
Section 1 - Short title and commencement
(1)
This Act may be called the Karnataka Stamp
(Amendment) Act, 2011.
(2)
It shall come into force with effect from the
first day of April 2011.
Section 2 - Amendment of section 9
In the
Karnataka Stamp Act, 1957 (Karnataka Act 34 of 1957) (hereinafter referred to
as the principal Act), in section 9, in sub-section (1),-
(1)
in clause (a),-
(a)
in the first proviso, after item (iii), the
following shall be inserted, namely:-
?(iv) by or in favour of loanee to obtain loans for
non-agricultural purposes advanced to ?Joint Liability Groups? by Schedule
Banks and other Financial Institutions specified in this behalf;
(v) ??by or in
favour of farmers for the allotment of developed lands to the farmers, when
their lands are acquired for public purposes;
(vi) ?by or in
favour of farmers for the purchase of lands from the compensation amount paid
to them when their lands are acquired for public purposes.?
(b)
after the third proviso, the following shall
be inserted, namely:-
?Provided
also that the State Government may in public interest, by notification, reduce
or remit the stamp duty payable on any instrument to be specified therein,
executed by or between the concerned persons in connection with 2009-14 tourism
policy of the State specified in Government Order No. Ka Sam Va Pra 231 Pra Va
Yo 2007 dated: 20th October 2009 or specified by the State Government from time
to time.?
(2)
in clause (b), for the words ?or other
marketable securities? the words ?or other marketable securities, brokers?
notes, policies of insurance and receipts.? shall be substituted.
Section 3 - Amendment of Schedule
In the
schedule to the principal Act,-
(1)
in Article 5, in clause (e),-
(a)
for sub-clause (ii) and entries relating
thereto, the following shall be substituted, namely:-
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?(ii) possession
of the property is not delivered
Explanation-I,-
When a reference, of a Power of Attorney granted separately by the seller to
the purchaser in respect of the property which is the subject matter of such
agreement, is made in the agreement, then the possession of the property is
deemed to have been delivered for the purpose of this clause.
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Ten paise for
every one hundred rupees or part thereof on the market value equal to the
amount of consideration subject to a maximum of rupees twenty thousand but
not less than rupees five hundred
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Provided that if
the proper stamp duty is paid on power of attorney under Article 41(e) or 41
(eb) as the case may, be executed between the same parties in respect of the
same property, then the stamp duty chargeable on such agreement under Article
5(e) shall not exceed rupees two hundred.?
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Explanation-II,-
For the purpose of clause (e) and clause (h) where subsequently conveyance or
mortgage as the case may be, is executed between the same parties in
pursuance of such agreement or its records or memorandum, the stamp duty, if
any, already paid and recovered on the agreement or its record or memorandum
shall be adjusted towards the total duty leviable on the conveyance or
mortgage, as the case may be
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(b)
clause (f) and the entries relating thereto,
including explanation I and II shall be omitted.
(2)
in Article 14, in clause (c), in column 2,
the words, brackets, figures and letter ?Revocation of Trust (No 54-B)? shall
be omitted.
(3)
in Article 20, in clause (4),-
(a)
in sub-clause (i), in column 3,-
(i)
for the words ?three percent? the words ?two
percent? shall be substituted;
(ii)
for the figures and symbol ?0.7%?, the words,
?one percent? shall be substituted.
(b)
in sub-clause (ii), in column 3,-
(i)
for the words ?three percent? the words ?two
percent? shall be substituted;
(ii)
for the figures and symbol ?0.7%? the words
?one percent? shall be substituted;
(iii)
the following shall be inserted in column 3,
at the end, namely:-
?Explanation:-
The term, ?aggregate value of shares? for the purpose of Article 20(4) means,
the face value of shares or its market value, whichever is higher.?
(4)
in Article 36, in column 3, the words ?Ten
rupees? shall be omitted.
(5)
in Article 41,-
(a)
in clause (e), in column 3, for the proviso
and the entries relating thereto, the following shall be substituted, namely:-
?Provided
that the duty paid on such power of attorney is adjustable towards the duty
payable on agreement for sale under Article 5(e) or instrument of sale or
transfer, as the case may be, executed between the same parties and in respect
of the same property.?
(b)
clause (ea) and the entries relating thereto,
shall be omitted.
(c)
in clause (eb), in column 3, for the proviso
and the entries relating thereto, the following shall be substituted, namely:-
?Provided
that the duty paid on such power of attorney is adjustable towards the duty
payable on agreement for sale under article 5(e) or on instrument of sale or
transfer, as the case may be, executed between the same parties in respect of
the same property.?
(d)
clause (f) and the entries relating thereto,
shall be renumbered as ?clause (h) thereof and before clause (h) as so
renumbered, the following shall be inserted, namely:-
?(f) ?When executed
by a principal or client for the sole purpose of authorizing rupees fifty the
agent or broker to carry out all lawful acts and deeds relating to his / her
trading operations including sale / purchase of marketable securities, transfer
of securities towards stock exchange, receiving / releasing funds and
securities from / to other parties on behalf of the principal or client.
(g) ??When executed
by a principal or client for the sole purpose of authorizing Rupees fifty? the
depository participant to carry out all lawful acts and deeds relating to
his/her demat account as per the bye-laws of the depositories / regulations
governing such operations.
(6)
in Article 52, for clause (d) and the entries
relating thereto, the following shall be substituted, namely:-
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?(d) of any
trust property from one trust to another trust or from Trust to trustee or
beneficiary, or from trustee to trust or trustee or beneficiary, as the case
may be.
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The same duty as
a conveyance [under Article 20 (1)] on the market value of the property
(which is the subject matter of such transfer) or consideration for such
transfer, whichever is higher.
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Provided that
for the public religious and charitable trusts, the duty for such transfer
shall be rupees one thousand.?
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(7)
for Article 54 and entries relating thereto,
the following shall be substituted, namely:-
?54
Trust,-
Declaration
of or concerning, any property when made by any writing not being a Will.-
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(i) When the
Trust is made exclusively for public religious and charitable purposes.
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Rupees One
Thousand
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(ii) When the
Trust is made for the management & custody of properties, for the purpose
of distributing the benefits/profits of the property to the beneficiaries and
where there is no transfer/ disposition of property, in any way.
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Rupees One
Thousand
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(iii) When the
trust made involves the transfer/ disposition of property in any way;
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The same duty as
conveyance [under Article No. 20(1)] on the amount and the market value of
the property, which is the subject matter of such transfer / disposition.?
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