STAMP DUTY PAYABLE ON FORMATION OF NEW COMPANY IN STATE OF MAHARASHTRA
Articles of Association and Memorandum of Association being instrument in writing in nature of agreement between the promoters; require stamp duty to be paid. Stamp duty is to be calculated at rates applicable on these instruments as per Stamp-Duty law in the state where the application for incorporation is made.
In Maharashtra, stamp-duty in Articles of Association is payable as per Article 10, of Schedule I of The Bombay Stamp Act, 1958. Stamp-duty is payable on Memorandum as per Article 39 of Schedule I.
Under Article 10, stamp-duty is payable on Articles of Association as under:
| 10. | ARTICLES OF ASSOCIATION OF A COMPANY Where the company has no share capital or nominal share capital or increased share capital. | One thousand rupees for every rupees 500000 or part thereof, subject to the maximum or Rs.50,00,000 |
| Exemption Articles of any association not formed for profit and registered under section 25 of the Companies Act, 1956. |
Under Article 39, stamp-duty is payable on Memorandum of Association as under:
| 39. | MEMORANDUM OF ASSOCIATION OF A COMPANY | |
| (a) if accompanied by articles of association under section 25 of the Companies Act, 1956 | Two hundred rupees | |
| (b) if not so accompanied. | The same duty as is leviable on Articles of Association under Article 10 according to the share capital of the company | |
| Exemption Memorandum of any association not formed for profit and registered under section 25 of the Companies Act, 1956 |
