what is the stamp duty payable on a power of attorney

Full Answer

What is the stamp duty for power of attorney?

500/- is only applicable for registration. In case, General Power of Attorney is conferred to a person other than close relative and/or for consideration, then stamp duty is payable as per the market value of the property or the consideration, whichever is higher.

What is the amount of stamp duty payable on the instrument?

The amount of Stamp duty payable on the instrument are based on the rates provided under the provisions of the Stamp Duty Act, 2005 (Act 689) which are: Ad valorem tax which ranges between 0.25% - 1% of the value of instruments/Document.

Is stamp duty payable on sale of property without consideration?

Clause (f-1) provided that where power of attorney was executed without consideration in favour of person who is not his or her spouse or children or mother or father and authorizes him to sell or transfer any immovable property, the stamp duty would be leviable as if the transaction is conveyance under Article 23.

Is stamp duty a tax on documents?

This is a tax imposed on documents or specific instruments which have legal effect. It is not a tax on transactions, but on documents brought into being for the purpose of recording transactions. The Stamp duty is governed by the Stamp Duty Act, 2005 (Act 689) as amended.

What is the stamp duty for power of attorney in Maharashtra?

Registration and stamp: A power of attorney is to be register at the office of the sub registrar within whose jurisdiction the person giving the power resides at the time of execution of the document. Also it will impound Stamp duty @ 5% of market value of the scheduled Property.

How Much Does power of attorney cost in Mumbai?

1000/- with a minimum of Rs. 100/- and a maximum fee of Rs. 30,000/- on the market value of property or consideration, whichever is higher.

Is registration of power of attorney compulsory in Maharashtra?

Need for the Document[edit] An agent appointed as Power of Attorney (POA) shall make decisions in case of disability or illness. It is compulsory to get the Power of Attorney registered in order to use it as a legally acceptable evidence before the court.

What is stamp duty in Sri Lanka?

Transfer of property in Sri Lanka is liable for the payment of stamp duty at the rate of Sri Lanka Rupees Four (LKR 4/-) per LKR 100/-. This is payable by the buyer and payable to the Provincial Council of the relevant Province, where the property is situate.

Should POA be on stamp paper?

Stamp paper of Rs. 500/- will be required for POA in your case. Maharashtra Stamp Act provides stamp duties to be levied on various types of documents. For your purpose a notarized POA to that effect will be sufficient.

Does power of attorney need to be stamped?

Such documents need to be stamped within three months from the date of receipt in India, to be payable at the district registrar's office. The attestation of power of attorney is not compulsory . However, it is advisable to get the document attested by two witnesses. The registration of the document is not compulsory.

What is rate of stamp duty in Maharashtra?

4-7%The Stamp Duty in Maharashtra is usually in the range of 4-7% of the consideration value mentioned in the document. This rate of Stamp Duty varies from state to state.

Can power of attorney holder sell property to himself?

when a registered PoA authorizes the agent to make the transaction, he can certainly do so however, it does require the free will of the original owner. If the Power of Attorney holder is following all the legal procedures then he cannot be barred by law from selling the property to himself.

Can a property be sold with power of attorney?

A person given power of attorney over a property cannot sell the asset unless there is a specific provision giving him the power, the Supreme Court has held in a judgment.

What is the current stamp duty amount?

Rs. 10/- per every Rs. 1,000 or part thereof of the aggregated rent or hire (not exceeding the sum for the first 20 years period of lease term, where it exceeds 20 years).

What is the percentage for stamp duty?

The stamp duty rate ranges from 2% to 12% of the purchase price, depending upon the value of the property bought, the purchase date and whether you are a multiple home owner.

Who is liable for stamp duty?

It is always the home buyer who pays stamp duty, not the seller. Usually, your solicitor will pay it on your behalf as part of the purchase process.

How to Pay Stamp duty on Power of Attorney

Stamp Duty on Power of Attorney in Rajasthan can be paid both in Online and offline Mode, In case of Offline Mode you need to visit to Registered Stamp Vendor office and Purchase the stamp Paper of applicable amount and in case of Online mode , you may purchase stamp paper through registered office of stock holding corporation and authorized stamp vendors..

Fastlegal Team

Fastlegal is an Online Legal Professional Services Provider Company providing Company Registration, LLP Registration, Nidhi Company Registration, Trademark Registration, GST Registration and Return Filing Services.

Power of Attorney: When You Need One

A Power of Attorney (POA) is a legal document that gives one person (agent or attorney-in-fact) the power to act for another person (the principal). This agent may have broad legal or limited authority to make decisions about the principal’s assets, finances, or medical care.

Understanding Power of Attorney

Power of attorney should be considered when planning long-term care. There are different types of POA which come under either General Power of Attorney or Limited Power of Attorney.

Understanding the Durable Power of Attorney (DPOA)

A Durable Power of Attorney (DPOA) remains in control of certain legal, property, or financial matters specifically stated in the agreement, even if the principal becomes mentally incapacitated.

4 Types of Power of Attorney: What You Need to Know

Caring for a loved one often means taking their transportation to appointments, managing their medication, completing household chores, or helping them handle their daily activities. But it can also often mean managing their finances.

How Power of Attorney Works

The principal can either download or purchase the POA template. If the templates are obtained through either of the two methods, the principal should ensure that they pertain to the state of residence. POA documents are very important, and the principal should not assume that the documents acquired are of the correct type.

Summary

Power of Attorney (POA) is a power imposed by the principal on an agent that allows the said agent to make decisions on his behalf. The agent may have limited or absolute authority to act on behalf of the principal on decisions relating to health, property, or finances.

What is the duty of a conveyance under Article 23?

(f-1) when given without consideration in favour of persons who are not his or her spouse or Children, or mother or father and authorizing the attorney to sell or transfer any immovable property.

Who can execute a conveyance?

Ordinarily, where executant himself is unable, for any reason, to execute the document, he would appoint his kith and kin as his power of attorney to complete the transaction on his behalf. If one does not have any kith or kin who he can appoint as power of attorney, he may execute the conveyance himself.

What is Section 3 of the M.P. 1997 Act?

1997 Act brought in amendment in the 1899 Act, inter alia, as under : “In Schedule 1-A of the Principal Act, in Article 48, (f) when given for consideration and authorizing the attorney to sell or transfer any immovable property.

Which court has accepted the constitutional challenge to Clause (d), Article 45 of Schedule 1-A?

4. The Division Bench of the High Court has accepted the constitutional challenge to Clause (d), Article 45 of Schedule 1-A brought in the 1899 Act by M.P. 2002 Act and held that the said provision was violative of Article 14 of the Constitution of India. The Division Bench gave the following reasoning: “11.

Can a laudable purpose sustain a provision?

The State may have a laudable purpose but the laudable purpose alone cannot sustain the provision. The matter would been [sic] different had it included a rider that it is executed in favour of any other for consideration or some other purposes is not the situation.

Does Madhya Pradesh have stamp duty?

In effect, by bringing in this law, the Madhya Pradesh State Legislature has sought to levy stamp duty on such ostensible document, the real intention of which is the transfer of immovable property. The classification, thus, cannot be said to be without any rationale.

What is stamp duty?

Stamp Duty. This is a tax imposed on documents or specific instruments which have legal effect. It is not a tax on transactions, but on documents brought into being for the purpose of recording transactions. The Stamp duty is governed by the Stamp Duty Act, 2005 (Act 689) as amended.

What is the Stamp Duty Act of 2005?

Section 40 to 44 of the Stamp Duty Act 2005 (Act 689) specifies activities and actions considered an offence under the Act and the accompanying consequences.

Which article of the Vienna Convention on Consular Relations provides for stamp duty exemption?

All instruments in respect of which exemption from stamp duty is conferred by Articles 32 and 49 of the Vienna Convention on Consular Relations, as applied by section 1 of the Consular Relations Decree, 1967 (NLCD 150).

Who may allow a person to submit particulars or extracts of an instrument which may assist in the assessment of duty

According to Section 48 of the Stamp Duty Act, The Commissioner – General may allow a person to submit particulars or extracts of an instrument which may assist in the assessment of duty to be sent by electronic means. The Commissioner – General on receipt of the particulars or extracts shall assess the duty payable and issue a stamp for ...

Who may serve an assessment made through an electronic address?

Where a person has provided the Commissioner General with an electronic address, the Commissioner General may serve an assessment made through that address and therefore the addressee is considered as served. For the purposes above, the Commissioner – General may authorise an imprint to indicate the payment of appropriate duty.

How much is a summary conviction fine?

The person is liable on summary conviction to a fine of not less than one hundred and fifty penalty units and not more than one thousand penalty units. The person is liable on summary conviction to a fine of not less than one hundred penalty units and not more than two hundred and fifty penalty units.

What is a power of attorney?

What is Power of Attorney? A power of attorney is basically the authority given by a person or grantor regarding his property to the agent or agents.

How long does a POA stay in force?

Generally, a POA remains in force unless it is expressly revoked or determined by the death of the either party (grantor/principal or agent /attorney holder). Duration of power also depends on the type of the attorney or there may be fixed period of time granted by the grantor to the agent to perform the particular act.

What does "unauthorized" mean in a power of attorney?

It is a power of attorney which specifically mentions that the agent or the agents become unauthorized to perform work assigned by the principal/grantor if the principal/grantor become mentally incapacitated.

What is the authority of the principal/grantor?

It is the authority in which the principal/grantor authorizes the agent to perform a certain task on behalf of the grantor/principal. The authority to the agent is given by performing some legal paperwork. The word “GENERAL” means that the authority or power given by the principal/grantor should be general regarding the subject matter ...

Can a principal revoke a POA?

The principal is free to revoke the power of attorney granted to the agent by giving a written notice to the agent (if it is for the fixed period). The principal can revoke the POA if the work for which the agent was appointed is over.

Is POA a cheap form of power of attorney?

Establishing POA is very cheap a small paperwork is required which contains the specific work provided by the principal to the agent in a very easy language which can be understood by both the principal as well as the agent. Family members can also act as an agent if you give power of attorney to them.

Can a POA be discharged?

A POA may be discharged by two or more persons jointly in support of one or more persons. A clause should also be included in the legal document of the power of attorney that all the attorneys should act separately or jointly. Also read: Legal issues in Joint development agreement.