Haryana’s move to introduce e-stamping for property registration from March onwards is aimed at providing a hassle-free, citizen-centric and secure way of paying non-judicial stamp duty to the state government. The e-stamping will replace the conventional stamp papers issued by the treasury or the banks. Requisite amendments have been done in the Indian Stamp Act by the central government to facilitate use of e-stamping.
Under the existing procedure, the treasury is required to purchase huge stocks of non-judicial stamp papers printed by Security Printing and Minting Corporation of India. Officials say that though the non-judicial stamp papers have security features, there is no foolproof mechanism to ensure the authenticity at the level of the registering authority. Also, it is not possible to keep a record of purchaser and user of each stamp paper. Since there are no records of purchaser and user of every stamp paper chances of misuse are always high, officials say.
WHAT IS E-STAMPING
The e-stamping is a computer-based application and a secure electronic way of stamping documents by replacing the existing system of physical use of stamp paper or franking. Officials said that under the e-stamping system, a citizen wanting to have a stamp paper for presenting a document before a government authority can generate the stamp on his own through an online system.
The citizens can either make an online payment through e-GRAS (online government receipts accounting system) or an internet banking gateway and generate stamp paper electronically. The online payment can be made through net banking or debit card.
The authority before whom the documents on stamp papers are to be presented can verify the deposit of the money as well as generation of stamp paper through an online system. The authority is required to deface the stamp online while registering the document and the defacement code is indicated on the document.
ADVANTAGES OVER CONVENTIONAL METHOD
The advantage with the e-stamping is that it provides the citizen the flexibility to generate stamp paper at his leisure and pace without going through the hassle of visiting stamp vendors, treasury office and bank. Moreover, it also saves the citizens from the hassles of searching for stamp papers of specific denominations, a commonly prevalent problem.
The e-stamp certificate will have a unique identification number and will be tamper-proof. The genuineness of e-stamp can be verified through an online inquiry module.
Under the online system, the name, address of buyer and purpose of purchase gets printed on the stamp paper and its record also remains available online.
Since the buyer is required to provide his mobile phone number as he/she can generate stamp papers only after feeding a code number sent to his mobile through SMS, this ensures that stamp papers cannot be generated by unauthorided persons.
Since the registering authority is required to deface the stamp paper online and indicate defacement code on the stamp paper, it will ensure that an e-stamp paper is not used multiple times thus preventing fraudulent transactions.
Officials said that under the system, back dating of stamp papers is not possible and in the event of a fraudulent transfer of property by an unauthorised person, the online system will be able to track the purchaser through mobile phone number of internet service provider (ISP) number used for generating stamp.
WHAT IS STAMP DUTY?
Stamp duty is a kind of tax collected by the state government. Some of the important instruments under the Indian Stamp Act are agreements, conveyances, certificate of sale, deed of partition, power of attorney to sell immoveable property, exchange, gift, letter of credit, receipt and transfer of shares.
FEATURES OF E-STAMPING
E-stamping is a computer based application and a secure way of paying stamp duty to government.
E-stamp certificate can be generated within minutes at one’s own leisure and from the comfort of one’s office or home.
E-stamp certificate is tamper proof and its genuineness can be checked online.
Specific denominations are not required thus cutting down hassles.
It is a secure and user-friendly system.