08-08-2013
Stamp Duty And Tax Implications In A Slump Sale
Under the Indian Stamp Act, 1899, stamp duty is payable in relation to transfer of immovable properties. Generally, anything embedded in, or attached to, the earth (such as land or buildings) is considered immovable property under Transfer of Properties Act and hence, any transfer of the same can attract significant stamp duties. So, in any business transfer arrangement that seeks to transfer any plant and machinery together with the land, and such plant and machinery is embedded in, or attached to, the earth, the same will be treated as immovable property hence attracting stamp duty.
SOURCE: www.corporatelawreporter.com
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