Stamp Duty Inapplicable On Family Members Who Ceased To Be Co-Sharers In Property Prior To Executing Partition Memo: Allahabad High Court

The Allahabad High Court ruled that stamp duty under the Indian Stamp Act does not apply to a settlement between co-sharers if the right of one co-sharer ceases before the settlement. The court clarified that in such cases, the transfer of interest occurs naturally and does not require a stamp duty payment, as the property settlement is simply the realization of an existing right rather than a new transaction.