Non payment of stamp duty on deed of pledge

While in certain cases, sanction may be accorded by the courts or authorities to admit an unstamped or insufficiently stamped document on payment of penalty in addition to the stamp duty determined to be payable under the law, the following documents will be considered invalid if they are unstamped or under stamped -:

1) Demand Promissory Notes

2) Usance Bill of Exchange

The unstamped/under stamped documents are liable to be impounded by the stamp inspecting government officials. For  averting an impounding of unstamped or under stamped documents, care should be taken to see that they have been adequately stamped.  Extra care should be taken before the documents are filed in any Court of Law or Government Offices in any suit or other proceedings.