Validity of Unstamped Documents
No documents chargeable with stamp duty shall be received in evidence in any proceedings whatsoever except:
- criminal proceedings,
- civil proceedings by the Collector to recover stamp duty or any penalty payable under the Stamp Duty Ordinance,
or be available for any other purpose whatsoever, unless such document is duly stamped.
Provided that a document which is not duly stamped may be received in evidence in civil proceedings before a court if the court so orders upon the personal undertaking of a solicitor to cause
- such document to be stamped in respect of the stamp duty chargeable thereon, and
- any penalty payable in respect of the document under section 9 to be paid.
Inadequate Consideration
Under section 27(4) a conveyance of immovable property or a transfer of Hong Kong stock made for a consideration which is in the opinion of the Collector inadequate shall, notwithstanding that the transaction is at arm's length and in good faith, be deemed to be a voluntary disposition inter vivos (i.e. a gift). Accordingly, the stamp duty on such conveyance or transfer will be calculated instead on the value of the property or stock and further duty will be demanded by the Stamp Office as appropriate. There are similar provisions for agreement for sale of residential property under section 29F.
Last review date: March 2010
