Legality of stamp paper
Aashish
(Querist) 08 August 2012
This query is : Resolved
Greeting members,
I have a query on the legality and validity of stamp papers (i.e. the 6 months) in accordance with the BOMBAY STAMP ACT. Though there were previous discussions on the same topic, there were no proper conclusion drawn.
Kindly request members to cite HC OR SC judgements for the above query and attach the same here.
N.K.Assumi
(Expert) 08 August 2012
Stamp Act and Rules varies from State to State as such much depends on the State Act and Rules, which you are require to look into it. But the recent observation of the Apex Court in Thiruvengada Pillai Vs. Navaneethammal and Anr Judgment dated 19th February 2008, the Supreme Court ruled:
“The Indian Stamp Act, 1899, nowhere prescribes any expiry date for use of a stamp paper. Section 54 merely provides that a person possessing a stamp paper for which he has no immediate use (which is not spoiled or rendered unfit or useless), can seek refund of the value thereof by surrendering such stamp paper to the Collector provided it was purchased within the period of six months next preceding the date on which it was so surrendered. The stipulation of the period of six months prescribed in Section 54 is only for the purpose of seeking refund of the value of the unused stamp paper, and not for use of the stamp paper. Section 54 does not require the person who has purchased a stamp paper, to use it within six months. Therefore, there is no impediment for a stamp paper purchased more than six months prior to the proposed date of execution, being used for a document.
Raj Kumar Makkad
(Expert) 13 August 2012
Citation : Thiruvengada Pillai Vs. Navaneethammal and Anr.
According to a recent Supreme Court Judgement dated 19-02-2008 in the case of Thiruvengada Pillai vs. Navaneethammal and Anr., the stamp papers do not have any expiry period. Relevant extract from SC judgement is reproduced herein below:
“The Indian Stamp Act, 1899, nowhere prescribes any expiry date for use of a stamp paper. Section 54 merely provides that a person possessing a stamp paper for which he has no immediate use (which is not spoiled or rendered unfit or useless), can seek refund of the value thereof by surrendering such stamp paper to the Collector provided it was purchased within the period of six months next preceding the date on which it was so surrendered. The stipulation of the period of six months prescribed in Section 54 is only for the purpose of seeking refund of the value of the unused stamp paper, and not for use of the stamp paper. Section 54 does not require the person who has purchased a stamp paper, to use it within six months. Therefore, there is no impediment for a stamp paper purchased more than six months prior to the proposed date of execution, being used for a document.
Aashish
(Querist) 13 August 2012
Hello Experts,
I am aware about this case given by SC.. But this judgement is as per Indian Stamp ACt, 1899. My query pertains to the Bombay stamp Act.
