Stamp Act, 1899 – Overview
The Stamp Act, 1899 is a key legislation in Bangladesh (originally enacted during British India) that governs the imposition and collection of stamp duties on various legal documents. This Act ensures that certain instruments are properly stamped to make them legally valid and enforceable.
Objectives of the Stamp Act, 1899
- To regulate the levy of stamp duty on specified instruments.
- To ensure the authenticity and legality of important documents.
- To generate government revenue through stamp duties.
- To prevent fraud and maintain legal order in documentation.
Key Provisions
| Section | Description |
|---|---|
| Section 2 | Definitions of key terms such as “instrument,” “stamp,” etc. |
| Section 3 | Charge of duty on certain instruments as per Schedule I. |
| Section 17 | Instruments must be stamped before or at the time of execution. |
| Section 35 | Instruments not duly stamped are inadmissible in evidence. |
| Section 40 | Procedure for dealing with impounded instruments. |
Instruments Covered Under the Act
- Agreements and contracts
- Affidavits
- Property transfer documents
- Mortgage deeds
- Insurance policies
- Promissory notes, bonds, and bills of exchange
Penalties for Non-Compliance
Failure to properly stamp a document can result in heavy penalties, including fines and legal inadmissibility of the instrument in courts. Proper stamping is critical to ensure legal enforceability and to avoid complications in transactions and litigation.
Recent Amendments
The government periodically revises the stamp duties to adapt to the changing economic and legal environment. Recent updates have emphasized digital stamping and easier methods of compliance.
Conclusion
The Stamp Act, 1899 remains a fundamental piece of legislation regulating legal documents in Bangladesh. Proper awareness and compliance with the provisions of this Act are crucial for businesses, legal practitioners, and individuals engaged in official transactions.
