Delhi's Stamp Duty Stand: A 0.1% Debate
In Delhi, companies must pay a 0.1% stamp duty on share issuance per the Indian Stamp Act, 1899. A recent dispute involves NSDL and CDSL, which applied a lower rate. This duty is crucial for state revenue, and non-compliance may lead to penalties.
- Country:
- India
The Delhi government has mandated a 0.1% stamp duty on the issuance of shares by companies with registered offices in the city, as per official reports on Wednesday.
In a recent circular, the revenue department clarified the enforcement under Schedule IA of the Indian Stamp Act, 1899, specifically amended for the NCT of Delhi. This announcement resolves discrepancies with depositaries NSDL and CDSL, which were previously collecting a lesser duty rate.
The government's move underscores the necessity for firms to comply with the state's statutory obligations, reinforcing that failure to remit the correct stamp duty results in revenue loss and potential penalties.
(With inputs from agencies.)
- READ MORE ON:
- Delhi
- stamp duty
- Indian Stamp Act
- NSDL
- CDSL
- shares
- issuance
- legal compliance
- state revenue
- NCT
Advertisement
ALSO READ
Om Freight Forwarders' Shares Plummet Post-IPO Debut
Global Shares Surge Amid Prospect of Rate Cuts and Gold's Historic High
Tech Shares Drag Hong Kong Stocks Amid Pre-Holiday Lull
Takaichi's Ascent Spurs Record High in Japanese Shares
Glottis Ltd's Disappointing Market Debut: Shares Plunge Amid IPO
Google News