Where a lease agreement requiring mandatory registration is not registered by the parties, it cannot be obtained as evidence of any of the agreed terms of the leased property it contains, except for limited purposes, including in legal actions for a specified benefit or simply as evidence of a warranty or a correlated transaction. Some print titles have been “Property owners, Agents to charge holdings 6% stamp duty and reit to FIRS,” “TUC Rejects 6% Stamp Duty on Rent,” “Labour rejects 6% stamp duty on the leasenancy, lease agreement,” especially suggesting that stamp duty on lease/leaselease agreements bei-ig von 6%. If customs stamp duty is not paid on leasing instruments, any public authority that can be proven under oath may seize it and send it to the stamp collector responsible for assessing and paying a proper stamp duty and a penalty of up to ten times the insufficient amount of stamp duty. Moreover, if the court concludes, in the context of a court proceeding, that the instrument is not properly stamped by the current tax, it can only be considered as evidence when the stamp duty (with penalty) imposed by the collector is fully paid. We have encountered several cases where individuals and businesses are unaware of the requirements for the payment of stamp duty and the registration of stamp duty in accordance with existing legislation. Bypassing these mandatory laws often leads to serious complications at a later date, either when there are disputes between the parties or when the instrument is seized by a public authority for a deficit in the payment of stamp duty. In principle, there are two types of stamp duty taxation, namely: an equipment lease has certain conditions that form the basis of the contract. Some of these conditions may be included: You are fiscally responsible or not responsible. They can only pay stamp duty on leases and leases at the statutory rate, the Stamp Act. It is also instructive to point out that Nigerian courts have repeatedly ruled that a subject cannot be taxed unless the language of the statute clearly imposes it. Some banks lend to small and medium-sized enterprises to help them rent expensive equipment. Banks charge lower fees and can provide better customer service than businesses that are not predominantly active in financing and are therefore preferred by borrowers. Some banks also serve regular transactions, depending on your agreement with them.

“The content of this document does not necessarily reflect the views/position of Khaitan-Co, but remains exclusively the views of the authors. For any questions or searches, please contact Khaitan and Co at l`legalalerts@khaitanco.com” “Why register rental contracts?” In recent days, there have been many controversies and misunderstandings on the part of many parties about stamp duty payable for leases. This is largely due to the lack of accurate information. As the general biblical proverb says: “My people perish for lack of knowledge.” If a lease contains a compromise clause, it would be treated as a separate agreement between the lessor and the taker, as decided by the Supreme Court of India in various cases, and arbitration can be invoked by any part of such a lease, since an arbitration agreement does not require registration. However, the arbitrator would not rely on an unregistered leasing decision to enforce any of the conditions in it, unless it constitutes proof of a contract in a special benefit entitlement or evidence of an incidental activity that does not expressly require registration.