Share Transfer
SH-4, stamp duty, and the register updated.
A private company's articles usually restrict transfer, commonly through a pre-emption right requiring existing members to be offered the shares first. Ignoring that clause makes the transfer challengeable, so the articles come before the paperwork.
The instrument is SH-4, stamped at 0.015% of consideration or market value, delivered to the company within sixty days of execution. The board approves it and the register of members is updated; a new share certificate is endorsed within one month.
What is included
- Articles reviewed for pre-emption and restrictions
- SH-4 prepared and stamping computed
- Board resolution approving the transfer
- Register of members updated and certificate endorsed
What we need from you
- Existing share certificates
- PAN of transferor and transferee
- Articles of association
- Agreed consideration or a valuation
Questions
What stamp duty applies to a share transfer?
0.015% of the consideration or the market value, whichever is higher, paid on the SH-4 instrument. It is uniform across India for shares held in physical form.
Also in MCA & ROC
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Get started with Share Transfer
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- A firm quote before any work begins
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