2. Definitions.—
In this Act, unless there is something repugnant in the subject or context,—
5
[
(1) Allotment list.—“allotment list” means a list containing details of allotment of the securities
intimated by the issuer to the depository under sub-section
(2) of section 8 of the Depositories Act,
1996 (22 of 1996);
(1A) “banker” includes a bank and any person acting as a banker;]
(2) Bill of exchange.—“bill of exchange” means a bill of exchange as defined by the Negotiable
Instruments Act, 1881, (26 of 1881), and includes also a hundi, and any other document entitling or
purporting to entitle any person, whether named therein or not, to payment by any other person of, or
to draw upon any other person for, any sum of money;
(3) Bill of exchange payable on demand. —“bill of exchange payable on demand” includes—
(a) an order for the payment of any sum of money by a bill of exchange or promissory note, or
for the delivery of any bill of exchange or promissory note in satisfaction of any sum of money, or
for the payment of any sum of money out of any particular fund which may or may not be
available, or upon any condition or contingency which may or may not be performed or happen;
(b) an order for the payment of any sum of money weekly, monthly or at any other stated
period; and
1. For Report of the Select Committee, see Gazette of India, 1898. Pt. -V, p. 231: and for Proceedings in Council, see 1898, Pt. VI, pp. 10 and 278; and Gazette of
India, 1899, Pt. VI, p 5.
This Act has been partially extended to Berar Laws Act, 1941 (4 of 1941) and has been declared to be in force in the SonthalParganas by the SonthalParganas
Settlement Regulation (3 of 1872), s. 3, as amended by Reg. 3 of 1899, s. 3; in the Angul District by the Angul Laws Regulation, 1936 (5 of 1936), s. 3 and Sch;
and in PanthPiploda by the PanthPiploda Laws Regulation, 1929 (1 of 1929), s. 2.
Under s. 3
(a) of the Scheduled Districts Act, 1874 (14 of 1874) the Act has been declared to be in force in the Scheduled Dis tricts of Ganjam,
Vizagapatam and East Godavary, see Notification No. 121, dated 25th April, 1927, Fort St. George Gazette, 1927, Pt. I, p. 684. It has also been
extended under ss. 5 and 5A of the same Act, with certain modifications to the districts of the Khasi and Jaintia Hills, the Garo Hills, the Lushai
Hills and the Naga Hills and the North Kachar sub-division of the Kachar district, the Mikir Hill Tracts in the Sibsagar and Nowgong districts and
the Lakhimpur Frontier Tract, see Notification No. 1541.- F
(a), dated 10th April; 1930. Assam Gazette 1930.Pt. ii, p. 700.
Extended to Dadra and Nagar Haveli by Reg. 6 of 1963, s. 2 and Sch. 1: to Goa, Daman and Diu by Reg. 11 of 1963, s. 3 and to Laccadive, Minicoy and
Amindivi Islands by Reg. 8 of 1965, s. 3 and Schedule.
2. Subs. by Act 43 of 1955, s. 3, for sub-section
(2) (w.e.f. 1-4-1956).
3. The words “except the State of Jammu and Kashmir” omitted by Act 34 of 2019, s. 95 and the Fifth Schedule (w.e.f. 31-10- 2019).
4. Subs. by the A.O. (No. 2) 1956, for “Part B States”.
5. Subs. by Act 7 of 2019, s. 12, for clause
(1) (w.e.f. 1-7-2020).[Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
4
(c) a letter of credit, that is to say, any instrument by which one person authorises another to
give credit to the person in whose favour it is drawn;
(4) Bill of lading.— “bill of lading” includes a “through bill of lading”, but does not include a
mate's receipt:
(5) Bond. — “bond” includes—
(a) any instrument whereby a person obliges himself to pay money to another, on condition that
the obligation shall be void if a specified act is performed, or is not performed, as the case may be;
(b) any instrument attested by a witness and not payable to order or bearer, whereby a person
obliges himself to pay money to another; and
(c) any instrument so attested, whereby a person obliges himself to deliver grain or other
agricultural produce to another;
1
[but does not include a debenture;]
(6) Chargeable.—“chargeable” means, as applied to an instrument executed or first executed after
the commencement of this Act, chargeable under this Act, and, as applied to any other instrument,
chargeable under the law in force in 2[India] when such instrument was executed or, where several
persons executed the instrument at different times, first executed;
(7) Cheque.—“cheque” means a bill of exchange drawn on a specified banker and not expressed to
be payable otherwise than on demand;
[(7A) “clearance list” means a list of transactions of sale and purchase relating to contracts traded
3
on the stock exchanges submitted to a clearing corporation in accordance with the law for the time
being in force in this behalf;
(7B) “clearing corporation” means an entity established to undertake the activity of clearing and
settlement of transactions in securities or other instruments and includes a clearing house of a
recognised stock exchange;]
4
* * * * * *
(9) Collector.—“Collector” —
(a) means, within the limits of the towns of Calcutta, Madras and Bombay, the Collector of
Calcutta, Madras and Bombay, respectively, and, without those limits, the Collector of a district;
and
(b) includes a Deputy Commissioner and any officer whom 5[the 6[State Government]] may, by
notification in the Official Gazette, appoint in this behalf;
(10) Conveyance. — “conveyance” includes a conveyance on sale and every instrument by which
property, whether moveable or immovable, is transferred inter vivos and which is not otherwise
specifically provided for by schedule I;
1. Added by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
2. Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).
3. Ins. by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
4. Clause
(8) omitted by the A.O. 1937.
5. Subs. by the A.O. 1937, for “the L.G.”.
6. Subs. by the A.O. 1950, for “collecting Government”.
5
1
[(10A) debenturte.––“debenture” includes––
(i) debenture stock, bonds or any other instrument of a company evidencing a debt, whether
constituting a charge on the assets of the company or not;
(ii) bonds in the nature of debenture issued by any incorporated company or body corporate;
(iii) certificate of deposit, commercial usance bill, commercial paper and such other debt
instrument of original or initial maturity upto one year as the Reserve Bank of India may specify
from time to time;
(iv) securitised debt instruments; and
(v) any other debt instruments specified by the Securities and Exchange Board of India from
time to time;
(10B) “depository” includes––
(a) a depository as defined in clause
(e) of sub-section
(1) of section 2 of the Depositories
Act, 1996 (22 of 1996); and
(b) any other entity declared by the Central Government, by notification in the Official
Gazette, to be a depository for the purposes of this Act;]
(11) Duly stamped. —“duly stamped”, as applied to an instrument, means that the instrument
bears an adhesive or impressed stamp of not less than the proper amount and that such stamp has been
affixed or used in accordance with the law for the time being in force in 2[India]:
(12) Executed and execution. — “executed” and “execution” used with reference to instruments,
mean “signed” and “signature” 1[and includes attribution of electronic record within the meaning of
section 11 of the Information Technology Act, 2000 (21 of 2000);]
3
* * * * *
(13) Impressed stamp. — “impressed stamp” includes—
(a) labels affixed and impressed by the proper officer; and
(b) stamps embossed or engraved on stamped paper;
4
[(13A) India. — “India” means the territory of India excluding the State of Jammu and Kashmir;]
5
[
(14) “instrument” includes—
(a) every document, by which any right or liability is, or purports to be, created, transferred,
limited, extended, extinguished or recorded;
(b) a document, electronic or otherwise, created for a transaction in a stock exchange or
depository by which any right or liability is, or purports to be, created, transferred, limited,
extended, extinguished or recorded; and
(c) any other document mentioned in Schedule I,
but does not include such instruments as may be specified by the Government, by notification in the
Official Gazette.]
(15) Instrument of partition.— “instrument of partition” means any instrument where by
co-owners of any property divide or agree to divide such property in severalty, and includes also a
1. Ins. by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
2. Subs. by Act 43 of 1955, s. 2, for “the States” (w.e.f. 1-4-1956).
3. Clause (12A) omitted by the A.O. 1950. Earlier ins. by the A.O. 1937.
4. Ins. by Act 43 of 1955, s. 4 (w.e.f. 1-4-1956).
5. Subs. by Act 7 of 2019, s. 12, for clause
(14) (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
6
final order for effecting a partition passed by any Revenue-authority or any Civil Court and an award
by an arbitrator directing a partition;
1
[(15A) Issue. ––“issue” means any person making an issue of securities;]
(16) Lease. — “lease” means a lease of immovable property, and includes also—
(a) a patta;
(b) a kabuliyat or other undertaking in writing, not being a counterpart of a lease, to cultivate,
occupy, or pay or deliver rent for, immovable property;
(c) any instrument by which tolls of any description are let;
(d) any writing on an application for a lease intended to signify that the application is granted;
[(16A) Marketable security.— “marketable security” means a security capable of being traded in
2
any stock exchange in India;
(16B) Market value.—“market value”, in relation to an instrument through which—
(a) any security is traded in a stock exchange, means the price at which it is so traded;
(b) any security which is transferred through a depository but not traded in the stock exchange,
means the price or the consideration mentioned in such instrument;
(c) any security is dealt otherwise than in the stock exchange or depository, means the price or
consideration mentioned in such instrument;]
(17) Mortgage-deed.— “mortgage-deed” includes every instrument whereby, for the purpose of
securing money advanced, or to be advanced, by way of loan, or an existing or future debt, or the
performance of an engagement, one person transfers, or creates, to, or in favour of, another, a right
over or in respect of specified property;
(18) Paper.—“paper” includes vellum, parchment or any other material on which an instrument
may be written;
(19) Policy of insurance.—“policy of insurance” includes—
(a) any instrument by which one person, in consideration of a premium, engages to indemnify
another against loss, damage or liability arising from an unknown or contingent event;
(b) a life-policy, and any policy insuring any person against accident or sickness, and any other
personal insurance; 3***
4
* * * * *
5
[(19A) Policy of group insurance.—“policy of group insurance” means any instrument covering
not less than fifty or such smaller number as the Central Government may approve, either generally or
with reference to any particular case, by which an insurer, in consideration of a premium paid by an
employer or by an employer and his employees jointly, engages to cover, with or without medical
examination and for the sole benefit of persons other than the employer, the lives of all the employees
or of any class of them, determined by conditions pertaining to the employment, for amounts of
insurance based upon a plan which precludes individual selection:]
(20) Policy of sea-insurance or sea-policy.—“Policy of sea-insurance” or “sea-policy”—
(a) means any insurance made upon any ship or vessel (whether for marine or inland
navigation), or upon the machinery, tackle or furniture of any ship or vessel, or upon any goods,
merchandise or property of any description whatever on board of any ship or vessel, or upon the
1. Ins. by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
2. Subs. by s. 12, ibid., for clause (16A) (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
3. The word “and” omitted by Act 5 of 1906, s. 2.
4. Clause
(c) omitted by s. 2, ibid.
5. Ins. by Act 43 of 1955, s. 4 (w.e.f. 1-4-1956).
7
freight of, or any other interest which may be lawfully insured in, or relating to, any ship or vessel;
and
(b) includes any insurance of goods, merchandise or property for any transit which includes, not
only a sea risk within the meaning of clause
(a), but also any other risk incidental to the transit
insured from the commencement of the transit to the ultimate destination covered by the insurance:
Where any person, in consideration of any sum of money paid or to be paid for additional
freight or otherwise, agrees to take upon himself any risk attending goods, merchandise or property
of any description whatever while on board of any ship or vessel, or engages to indemnify the
owner of any such goods, merchandise or property from any risk, loss or damage, such agreement
or engagement shall be deemed to be a contract for sea-insurance;
(21) Power-of-attorney.—“power-of-attorney” includes any instrument (not chargeable with a fee
under the law relating to Court-fees for the time being in force) empowering a specified person to act
for and in the name of the person executing it;
(22) Promissory note.—“promissory note” means a promissory note as defined by the Negotiable
Instruments Act, 1881 (XXVI of 1881);
It also includes a note promising the payment of any sum of money out of any particular fund
which may or may not be available, or upon any condition or contingency which may or may not be
performed or happen;
(23) Receipt.—“receipt” includes any note, memorandum or writing—
(a) where by any money, or any bill of exchange, cheque or promissory note is acknowledged to
have been received, or
(b) where by any other moveable property is acknowledged to have been received in satisfaction
of a debt, or
(c) where by any debt or demand, or any part of a debt or demand, is acknowledged to have
been satisfied or discharged, or
(d) which signifies or imports any such acknowledgment,
and whether the same is or is not signed with the name of any person; 1***
2
[(23A) Securities.—“securities” includes—
(i) securities as defined in clause
(h) of section 2 of the Securities Contracts (Regulation) Act,
1956 (42 of 1956);
(ii) a “derivative” as defined in clause
(a) of section 45U of the Reserve Bank of India Act, 1934
(2 of 1934);
(iii) a certificate of deposit, commercial usance bill, commercial paper, repo on corporate bonds
and such other debt instrument of original or initial maturity upto one year as the Reserve Bank of
India ma specify from time to time; and
(iv) any other instrument declared by the Central Government, by notification in the Official
Gazette, to be securities for the purposes of this Act.]
(24) Settlement.—“settlement” means any non-testamentary disposition, in writing, of moveable
or immovable property made—
(a) in consideration of marriage,
1. The word “and” omitted by Act 18 of 1928, s. 2 and the First Schedule.
2. Ins. by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
8
(b) for the purpose of distributing property of the settler among his family or those for whom he
desires to provide, or for the purpose of providing for some person dependent on him, or
(c) for any religious or charitable purpose;
and includes an agreement in writing to make such a disposition 1[and, where any such disposition has
not been made in writing, any instrument recording, whether by way of declaration of trust or otherwise,
the terms of any such disposition]; 2***
[
(25) Soldier. —“soldier” includes any person below the rank of non-commissioned officer who is
3
enrolled under the 4Indian Army Act, 1911(8 of 1911).]
[
(26) Stamp. — “stamp” means any mark, seal or endorsement by any agency or person duly
5
authorised by the State Government, and includes an adhesive or impressed stamp, for the purposes of
duty chargeable under this Act.]
6
[
(27) Stock exchange.—“stock exchange” includes—
(i) a recognised stock exchange as defined in clause
(f) of section 2 of the Securities Contracts
(Regulation) Act, 1956 (42 of 1956); and
(ii) such other platform for trading or reporting a deal in securities, as may be specified by the
Central Government, by notification in the Official Gazette, for the purposes of this Act.]
STATE AMENDMENT
Assam
Amendment of section 2 of Act II of 1892.—In section 2 of the principal Act, after clause
(7), the
following shall be inserted, namely:-
“
(8) “Chief Controlling Revenue Authority” means the Superintendent of Stamps, Assam.”
[Vide Assam Act 10 of 1968, s. 2]
Himachal Pradesh
Amendment of section 2.— In clause
(10) of section 2 of the Indian Stamp Act, 1899, hereinafter
referred to as the said Act, for the colon shall be substituted a comma, followed by the words “or by
Schedule I-A as the case may be.
[Vide Himachal Pradesh Act 4 of 1953, s. 2]
Uttarakhand
Amendment of section 2.—Indian Stamp (Uttarakhand Amendment) Bill, 2011 (as passed by the
Uttarakhand Legislative Assembly on dated 16 March, 2011) clause 9 shall be substituted as follows;
namely:-
“Voting or attempting to cote under any proxy not duly stamped shall for every such offence, be
punishable with fine which may extend to ₹ five thousand.”
[Vide Uttarakhand Act 20 of 2013, s. 2]
Amendment of section 2.—In section 2 of the Indian Stamp Act, 1899 (hereinafter referred to as the
principal Act),:-
(a) For clause
(14), the following clause shall be substituted; namely:-
(14) “Instrument” instrument includes every document and record created or maintained in
or by an electronic storage and retrieval device or media by which any right or liability is, or
purports to be, created, transferred, limited, extended, extinguished or recorded;
(b) After clause
(14), the following clause shall be inserted, namely:--
1. Ins. by Act 15 of 1904, s. 2.
2. The word “and”, omitted by the A.O. 1950. Earlier ins. by Act 18 of 1928, s. 2 and the First Schedule.
3. Added by Act 18 of 1928, s. 2 and the First Schedule.,
4. See Now the Army Act 1950 (46 of 1950).
5. Ins. by Act 23 of 2004, s. 117.
6. Ins. by Act 7 of 2019, s. 12 (w.e.f. 1-7-2020). [Earlier notified w.e.f. 9-1-2020 followed by 1-4-2020]
9
(14-A) “Instrument of Gift” Instrument of gift includes an instrument whether by way of
declaration or otherwise, for making or accepting an oral gift;
(c) After clause
(22), the following clause shall be inserted namely:-
(22-A) "Public Officer" Public Officer means a Public Officer as defined in clause
(17) of
section 2 of the Code of Civil Procedure, 1908 and includes every officer working in
connection with the affairs of any of the following of the organizations, namely:-
(a) Any statutory body or authority Constituted under any Uttarakhand State Act;
(b) A "Financing Bank" or "Central Bank" as defined in clause (L) of section 2 of the
Uttarakhand Cooperative Societies Act, 2003.
[Vide Uttarakhand Act 1 of 2016, s. 2]
Uttar Pradesh
Amendment of Section 2 of Act no. 2 of 1899.—In section 2 of the Indian Stamp Act, 1899,
hereinafter referred to as the principal Act, in clause
(16), after sub-clause
(d), the following clause shall
be inserted, namely :—
"
(e) any instrument by which mining lease is granted in respect of minor minerals as defined in
clause
(e) of section 3 of the Mines and Minerals (Regulation and Development) Act, 1957."
[Vide Uttar Pradesh Act 11 of 1992, s. 2]
Amendment of section 2 of Act II of 1899.—In section 2 of the Indian Stamp Act, 1899 as amended
in its application to Uttar Pradesh, hereinafter in this Chapter referred to as the principal Act, in clause
(10), the following Explanation shall be inserted in the end, namely :—
“Explanation— An instrument whereby a co-owner of a property having defined share therein,
transfers such share or part thereof to another co-owner of the property, is for the purposes of this clause
an instrument by which property is transferred.”
[Vide Uttar Pradesh Act 19 of 1981, s. 2]
Amendment of section 2 of Act II of 1899.— In section 2 of the Indian Stamp Act, 1899, hereinafter
referred to as the principal Act, for clause
(15), the following clause shall be substituted, namely :—
“
(15) “instrument of partition” means any instrument whereby co-owners of any property divide
or agree to divide such property in severalty, and also includes —
(i) a final order for effecting a partition passed by any revenue authority or any civil court ;
(ii) an award by an arbitrator directing a partition ; and
(iii) when any partition is effected without executing any such instrument, any instrument of
instruments signed by the co-owners and recording, whether by way of declaration of such
partition or otherwise, the terms of such partition amongst the co-owners ;”
[Vide Uttar Pradesh Act 20 of 1974, s. 2]
Amendment of section 2 of Act no. 2 of 1899.— In section 2 of the Indian Stamp Act, 1899,
hereinafter referred to as the Amendment of principal Act, —
(a) for sub-section
(14), the following sub-section shall be substituted, namely-
“
(14) Instrument— “Instrument includes every document and record created or maintained in
or by an electronic storage and retrieval device or media by which any right or liability is, or
purports to be, created, transferred, limited, extended, extinguished or recorded;"
(b) after sub-section
(14), the following sub-section shall be inserted, namely:—
"(14-A) 'Instrument of Gift'— '1nstrument of Gift' includes an instrument whether by way of
declaration or otherwise, for making or accepting an oral gift;"
(c) after sub-section
(22), the following sub-section shall be inserted, namely :—
10
"(22-A) 'Public Officer'— Public Officer' means a Public Officer as defined in clause
(17) of
section 2 of the Code of Civil procedure, 1908 and includes every officer working in connection
with the affairs of any of the following of organizations, namely :—
(a) any statutory body or authority constituted under any Uttar Pradesh Act;
(b) a 'Financing Bank or 'Central Bank' as defined in clause
(k) of section 2 of the Uttar
Pradesh Co-operative Societies Act, 1965 ; "
[Vide Uttar Pradesh Act 38 of 2001, s. 2]
Amendment of section 2 of Act II of 1899.— In section 2 of the Indian Stamp Act, 1899, as
amended in its application to Uttar Pradesh (hereinafter referred to as the principal Act), after clause (26-
A), the following clause shall be inserted, namely:—
"27. 'quarter' means a quarter of the financial year."
[Vide Uttar Pradesh Act 49 of 1975, s. 2]
CHAPTER II
STAMP DUTIES
A.—Of the liability of instruments to Duty
