Finance Ministry invites suggestions from public on draft Indian Stamp Bill

The Ministry of Finance on Wednesday invited public feedback on the proposed Indian Stamp Bill, 2023, which will modernise stamp duty regulations. Stakeholders have 30 days to submit their suggestions in a prescribed format.

The Finance Ministry stated that once enacted, the Bill will replace the Indian Stamp Act of 1899. It said, "The Department of Revenue, Ministry of Finance, Government of India, has prepared a draft 'Indian Stamp Bill, 2023' to align it with modern stamp duty regime." 

The Indian Stamp Act, 1899, is a fiscal statute that establishes the law governing taxes levied in the form of stamps on instruments reflecting transactions.

Stamp duties are charged by the Central Government, but are collected and appropriated by the respective States in accordance with Article 268 of the Constitution.

The Indian Stamp Act of 1899, a pre-Constitutional Act, has been revised from time to time to allow for a more modern stamp duty regime.

However, a number of clauses in the Indian Stamp Act, 1899 have become redundant or inoperative, necessitating a reorientation of the Act.

As a result, it has been proposed that the Indian Stamp Act, 1899, be abolished, and new legislation is enacted to reflect the present realities and objectives, the ministry said.

(With Agency Inputs)