We have a company registered in Andhra Pradesh,the company is availing financial assistance through ECB from the lenders who are located oversea, the lenders have requested us to mortgage a property of the company which is situated in Tamil Nadu, and they are of the opinion that the company have to shift its registered office to tamil nadu, because if they dont shift the registered office then stamp duty rates as applicable in Andhra Pradesh is applicable,which is higher when compared to tamil nadu. Now my question is: 1. Is stamp duty rates applicable as per the state act,where property is situated or where the registered office? 2. Whether it is levied as per the place of transaction or where the document is brought in? This is very urgent..Please guide through it.
17 May 2011
Stamp duty is applicable as per the state rule where the document is prepared and if after preparation the document is transfer to another state for operation than the document is valid only after payment of deferential rate of stamp duty between two state.
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