Srinagar, Feb 28 (KNO): In a relief for traders, the Jammu and Kashmir government on Friday ordered remitting of stamp duty on documents for fresh/ additional loan of the borrowers whose accounts have been restructured due to unprecedented situation in Kashmir VaIley since August 5.
According to wire service— Kashmir News Observer (KNO), the Finance department of J&K UT today issued a notification to remit stamp duty on fresh loans for borrowers whose accounts have been restructured.
“In exercise of the powers conferred by clause (a) of section 9 of the Stamps Act, Smvt. 1977 (XL of 1977), the Government hereby directs that there shall be remission of duty chargeable under the said Act in case of instruments/ documents executed between the borrowers and the tending Financial Institutions on the fresh/ additional loans advanced by such Institutions to the borrowers whose accounts have been restructured upon authorization by Reserve Bank of India (RBI) in terms of RBI's Master Directions, dated 17 October, 2018, (on relief measures by banks in areas affected by natural calamities) due to unprecedented situation in Kashmir Valley since 5th August, 2019,” reads the notification issued by Financial Commissioner Finance, Arun Mehta, as per KNO.
As per the notification, the branch heads of the lending Financial Institutions shall certify that the loan accounts of the borrowers who are being extended the fresh/additional loans have been restructured in terms of RBI's Master Directions of 17th October, 20 18 due to the unprecedented situation in Kashmir Valley.
“A copy of such certificate shall be forwarded to Commissioner, Stamps or the person authorized by Commissioner, Stamps for information,” reads the notification. The notification has come into force with immediate effect and will be valid up to one year from the date of issuance—(KNO)