Constitution Section 268 — Duties levied by the Union but collected and appropriated by the States

Part XII — FINANCE, PROPERTY, CONTRACTS AND SUITS — General

Constitutional

Summary

Stamp duties listed in the Union List are set by the central government. These duties are collected by the central government if they apply in a Union territory, and by the state government if they apply in a state. The money collected from stamp duties within a state does not go into the central government's main fund, but is instead given to that state.

Official Text

(1) Such stamp duties as are mentioned in the Union List shall be levied by the Government of India but shall be collected—

(a) in the case where such duties are leviable within any Union territory, by the Government of India, and

(b) in other cases, by the States within which such duties are respectively leviable.

(2) The proceeds in any financial year of any such duty leviable within any State shall not form part of the Consolidated Fund of India, but shall be assigned to that State.