There are various and multiple Acts in India that govern the Indian Judicial System. One such Act is the Indian Stamp Act 1899 which holds immense value to carry out different legal work relating to real estate and other arenas.
It is understandable from the very year of The Indian Stamp Act that has come into force as one of the oldest Acts. This Act is to date followed quite ardently by various legal practitioners all over the country. The Act dates back even before India had become independent. This Act is relied upon for charging stamp duty on instruments recording transactions.
The said Act helps the central government to generate revenue. This Act finds its use widely in real estate. Since the year this Act came into being it plays an important role as most of the documents mostly about real estate need to be stamped compulsory to make such documents legally binding, valid and authentic. If not stamped then such documents hold no validity before the court of law.
Some of the main characteristics of the Indian Stamp Act,1899:
Generates revenue: This Act for many years is performing an ultimate duty by helping the Indian Government to generate revenue by stamping various legal documents.
Validity before Court of Law: There is a need of stamping various legal documents as any kind of papers cannot be presented before the Court of Law. It is necessary to maintain a protocol of presentation of papers with proper stamping. Stamping of the documents adds a feather to the hat for the parties as it makes such documents more authentic and reliable for the Court of Law.
Provides protection: This Act gives protection to the parties who get their relevant legal documents stamped. Since real estate is a sensitive subject it is better to get all the relevant documents stamped as it prevents such valuable documents from getting forged or mishandled by people.
The Indian Stamp Act,1899 is making the legal documents authentic and valuable as it charges the stamp duty from the various instruments that are recording transactions. The stamp duty that is charged is not the same for every document or transaction of the instrument. The stamp duty varies depending on the veracity of the legal papers concerning the work. This gives one an extra mile of protection and mental peace to the concerned parties that the least chances stand that their papers will get tampered with.
