- Stamp duty is payable in accordance with the Stamp Act.
- Stamp duty is payable on market value or agreement value whichever is higher.
- Market value of any property is determined by the stamp duty authorities on the basis of the Stamp Duty Ready Reckoner issued by the government on January 1 every year.
- A stamp duty paid document is considered a proper and legal document and as such gets evidentiary value and is admitted as evidence in the court of law. The documents that are insufficiently stamped are not admitted as evidence by court.
- Once the stamp duty is paid on the document, it has to be registered with the Sub Registrar of the respective district. The document is to be registered according to the provisions of The Registration Act, 1908.
- All parties executing the document admit before Sub Registrar of Assurances that they have executed the document presented for registration. Parties are then identified by two independent witnesses.
- Parties to the document are photographed and their left hand thumb impression is taken and such photograph and thumb impression is affixed on additional pages attached to the document apart from color photographs and thumb impression which a person affixes in agreement value while executing a document.
- The Sub Registrar records the content of the document, including the additional pages, either by photocopying or scanning the content of the documents.
- If a particular document is required to be compulsorily registered under the law and is not registered then the proper legal title will not pass on the purchaser i.e. the title will be defective and document becomes inadmissible in the court of law.