The Government of Tamil Nadu ("GoTN") had passed an amendment act i.e., the Indian Stamp (Tamil Nadu Amendment) Act, 2023 ("Amendment Act"), wherein the stamp duty payable in relation to certain instruments are revised. The revised stamp duty are effective from May 3, 2024.
| S.No. | Instrument | Relevant Article of the Schedule I to the Act | Stamp Duty Prior to Amendment | Stamp Duty Pursuant to Amendment |
| 1. | Adoption deed | 3 | INR 100 (Indian Rupees one hundred) | INR 1,000 (Indian Rupees one thousand) |
| 2. | Affidavit including affirmation or declaration | 4 | INR 20 (Indian Rupees twenty) | INR 200 (Indian Rupees two hundred) |
| 3. | Agreement (Not otherwise provided for) | 5(j) | INR 20 (Indian Rupees twenty) | INR 200 (Indian Rupees two hundred) |
| 4. | Articles of Association | 10 | INR 300 (Indian Rupees three hundred) | 0.05% on the authorised share capital of the company subject to a maximum of INR 5,00,000 (Indian Rupees fifty thousand) |
| 5. | Cancellation | 17 | INR 50 (Indian Rupees fifty) for instrument (any instrument by which any instrument previously executed is cancelled) if attested and not otherwise provided. | INR 1,000 (Indian Rupees one thousand) for instrument (any instrument by which any instrument previously executed is cancelled), if attested whether it involves transfer of property or not and not otherwise provided for. |
| 6. | Copy or Extract certified to be a true copy or extract by or by order of any public offer and not chargeable under the law for the tile being in force relating to Court fees | 24(i) | INR 5 (Indian Rupees five) | INR 100 (Indian Rupees one hundred) |
| 7. | 24(ii) | INR 20 (Indian Rupees twenty) in any other case | INR 100 (Indian Rupees one hundred) in any other case | |
| 8. | Counterpart or Duplicate if the duty with which the original instrument is chargeable exceed five rupees or any other case | 25(b) | INR 20 (Indian Rupees twenty) | INR 500 (Indian Rupees five hundred) |
| 9. | Lease where the period of lease is below thirty years | 35(a) | 1% on the rent, fine, premium or advance, if any payable. | 1% on the rent, fine, premium or advance or security deposit, if any, payable. |
| 10. | Lease where the period of lease is above thirty years and up to ninety-nine years | 35(b) | 4 % on the rent, fine, premium or advance, if any payable. | 4 % on the rent, fine, premium or advance or security deposit, if any, payable. |
| 11. | Lease where the period of lease is above ninety-nine years | 35(c) | 7% on the rent, fine, premium or advance, if any payable. | 7% on the rent, fine, premium or advance or security deposit, if any, payable. |
| 12. | Memorandum of Association | 39 | INR 200 (Indian Rupees two hundred) if accompanied by Articles
of Association
(or) INR 500 (Indian Rupees five hundred) if not so accompanied |
INR 200 (Indian Rupees two hundred) |
| 13. | Partition deed executed between non-family members | 45(b) | 4% for the amount of the value of the separated shares of the property | 4% for the amount of the market value of the separated shares of the property |
| 14. | Partnership | 46A | INR 300 (Indian Rupees three hundred) | INR 1000 (Indian Rupees one thousand) |
| 15. | Power of attorney executed solely for registration or admitting execution | 48 (a) | INR 5 (Indian Rupees five) | INR 500 (Indian Rupees five hundred) |
| 16. | Power of attorney when authorizing one person or more to act in a single transaction other than the case mentioned in clause 48(a) | 48 (b) | INR 15 (Indian Rupees fifteen) | INR 500 (Indian Rupees five hundred) |
| 17. | Power of attorney when authorizing not more than five persons to act jointly and severally in more than one transaction or generally | 48 (c) | INR 100 (Indian Rupees one hundred) | INR 1000 (Indian Rupees one thousand) |
| 18. | Power of attorney when authorizing more than five but not more than ten person to act jointly and severally in more than one transaction or generally. | 48(d) | INR 175 (Indian Rupees one hundred seventy-five) | INR 1000 (Indian Rupees one thousand) |
| 19. | Power of Attorney to sell immovable property for consideration | 48(e) | 5% on consideration | 5% on market value |
| 20. | Power of Attorney without consideration granted in favour of family member | 48(f) | INR 20 (Indian Rupees twenty) for each person authorized | INR 1000 (Indian Rupees one thousand) |
| 21. | Power of Attorney without consideration granted in favour of non- family member (newly inserted) | 48(g) | 1% on market value of the immovable property | |
| 22. | Power of attorney in any other case | 48(h) | – | INR 1000 (Indian Rupees one thousand) for each person authorized |
| 23. | Reconveyance of Mortgaged Property | 54(b)(i) | INR 80 (Indian Rupees eighty) | INR 1000 (Indian Rupees one thousand) |
| 24. | 54(b)(ii) | INR 70 (Indian Rupees seventy) | INR 1000 (Indian Rupees one thousand) | |
| 25. | Security Bond | 57 | INR 80 (Indian Rupees eighty) | INR 500 (Indian Rupees five hundred) |
| 26. | Revocation of Settlement | 58(b) | INR 80 (Indian Rupees eighty) | INR 1000 (Indian Rupees one thousand) |
| 27. | Surrender of lease | 61 | INR 40 (Indian Rupees forty) | INR 1000 (Indian Rupees one thousand) |
| 28. | Transfer relating to trust | 62 (e) | INR 30 (Indian Rupees thirty) | INR 1000 (Indian Rupees one thousand) |
| 29. | Declaration of Trust | 64 (a) | INR 180 (Indian Rupees one hundred eighty) | INR 1000 (Indian Rupees one thousand) |
| 30. | Revocation of Trust | 64(b) | INR 120 (Indian Rupees one hundred twenty) | INR 1000 (Indian Rupees one thousand) |
In addition to the above, the explanation of the word 'family' as set out in Article 55 is also amended to include "the legal heirs of a deceased family member, if any". Further, the amended explanation of the word 'family' is also extended to articles 45(b), 46(b) and 48.
Conclusion
The Amendment Act is a significant revision to the stamp duty levied on various instruments to the prevailing times, which was otherwise levied on obsolete duty. Also, the extension of the definition of the word 'family' to other instruments will promote innovative and unique structures in Estate Planning and Real Estate Transactions.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.