In addition, under the provisions of the Right of Sale Act of 1930, read under Sections 17 and 18 of the Registration Act, 1908, the physical supply/transfer of a piece of property constitutes a valid transfer of a piece of property, if this is done by obtaining confirmation or receipt of that effect for the seizure and/or recognition of the transfer of property to those propertys. If the transfer of tangible real estate is made by physical delivery, no registration or stamp is required. However, stamp duty applies when an instrument is executed in writing to record a transfer, including for physical personal property. If a contract does not intend to act as an immediate transfer of the sale of the land, such an instrument must be qualified as an agreement and not transport. An agreement to sell a business with its assets, including the value, would not be a sales contract, but only a contract of sale, whereas the parties intended to enter into force from the date of the agreement at the time of the conclusion of the transaction and, although no actual transport activity was prepared to carry out the proposed sale with regard to goods or personal assets (a sale activity was carried out only with regard to the property). [See final note 8] However, an agreement that covers the intention to sell a business with its assets is not a promotion, it is simply a sales contract. 2. Audited balance sheet of the previous year of the transfer company 3. Opt for Slump Sale and its payment method 4. A draft Slump Sale Agreement taking into account the provisions of income tax or stamp duty. The execution of certain documents and instruments is accompanied by a stamp duty under the Indian Stamp Act of 1899 (“Stamp Act”). Stamp duty must be paid on the instrument and not on the transaction.
It is therefore important to understand the instrument and the object of the instrument in order to understand stamp duty in the application for the same. Prior to the introduction of Section 2 (42C), the courts held that the sale of Slump-Sale is a sale of a business on the basis of an ongoing business, if the flat price cannot be attributed to individual assets or liabilities. In CIT V. Artex Manufacturing Co., apex Court treated the sale of the business as a retail sale as part of a permanent concern for a package, on the grounds that the break-in price had been determined by the appraiser on the basis of individual assets, while in CIT V. Electric Control Gear Mfg. Co. The sale of the transaction with an ongoing business was considered a burglary, since, in this case, there is no indication that the price of the intrusion is due to an asset. The KS Act departs from the BS and IS law, taking into account the specific provisions relating to the transfer of property and real estate within the meaning of Article 5 of the KS Act. Art. 5 E-Buchstabe e KS-Gesetz imposes stamp duty levied on an agreement to sell land with partial execution of the contractual contract.
When the property is delivered or agreed before the transport is carried out, the prescribed stamp duty is in accordance with the section 20 obligation with respect to a deed of transport. Like the BS Act, the KS Act also provides a basis for calculating stamp duty on the tax paid on the transport record. If ownership of the property is not delivered, the responsibility for the stamp is limited to these agreements at twenty thousand INR. Stamp duty is a tax due on the performance of certain instruments or documents under the Indian Stamp Act of 1899 (“IS Act”) or the corresponding national stamp law.