Stamp Duty on Instrument executed outside India
visesh
(Querist) 29 July 2008
This query is : Resolved
Do I need to pay stamp duty on an instrument which is executed outside India, and relates to a property situate outside India?
ESTHERPRIYA
(Expert) 29 July 2008
Indian Stamp Act, 1899 extends to the whole of India and it is not applicable to property situated outside India. So stamp duty need not be paid in India for a property outside India.
With respect to instrument executed outside India and relates to a property outside India, the instrument have to be stamped but not under the Indian Stamp Act. This position differs if any of the party belongs to India as to ensure their performance of the contract, they will put the agreement in stamp paper or uses a revenue stamp to acknowledge the receipt of money. At the same time you need to pay stamp duty as per the foreign law if both the parties belong to other national.
visesh
(Querist) 29 July 2008
Thank you, could you also clarify the position relating to payment of stamp duty within 3 months on instruments executed outside India but received in India.
Would the position be different if payment involves an Indian Party, but the payment is made through a foreign subsidiary to the third party?
arunprakaash.m.
(Expert) 30 July 2008
Paying stamp duty is depends upon the law of the country in which the property is situated.
