Ever signed a rental agreement or filed an affidavit? Then you’ve used stamp paper - that ordinary piece of paper you likely signed without thinking twice. But here’s what most people miss: not all stamp papers are created equal. Use the wrong type, and your document could get rejected when you need it most.
Let’s decode the 5 key types (including the digital option) and when to use each so you never grab the wrong one again.
What Are the Different Types of Stamp Paper in India?
India uses five main types of stamp papers - and no, you can't just grab whichever one's closest when signing important documents.
Here's the quick breakdown before we dive deeper:
- Judicial Stamp Paper: When you're dealing with courts (think lawsuits or affidavits).
- Non-Judicial Stamp Paper: For everyday legal stuff like rent agreements or property deals.
- E-Stamp Paper: The government's digital alternative to physical stamp papers.
- Franking: An inked stamp alternative used primarily for loan documents.
- Revenue Stamps: Small denomination stamps (₹1) for receipts and financial transactions.
While all stamp papers trace their rules to the Indian Stamp Act, 1899, judicial stamps have an extra layer - they’re also governed by the Court Fees Act, 1870. It means judicial stamps work very differently from the others. Let’s break down how and when you’ll need them…
What is Judicial Stamp Paper and Its Uses?
Judicial stamp papers are exclusively used for court-related matters like filing cases, submitting affidavits, or paying legal fees.
Unlike their non-judicial counterparts, judicial stamp papers aren't for everyday paperwork - this stamp is strictly for courtroom dealings. While your rent agreement or property deal uses non-judicial stamps, anything going to a judge must be on judicial stamps. It’s how courts collect fees and keep documents official.
Skip it, and your case won’t move forward.
A judicial stamp could be used in the following scenarios:
- Court fee payments: Required when filing cases (without proper stamps, courts won't accept your petition)
- Legal affidavits: Legal declarations like name changes, bail applications, or witness statements must use judicial stamps. The denomination depends on the document’s purpose.
- High-value filings:Commercial cases often need stamps worth ₹25,000 or more. Courts verify these amounts strictly.
These stamps include security features like case details and official signatures to prevent misuse.
Remember, judicial stamps exist solely for court proceedings. For everything else, you’ll need a different type.
Next, we’ll break down the stamp paper you’ll use far more often - Non-judicial stamps.
What is Non-Judicial Stamp Paper and How is it Used?
If judicial stamp paper is for courts, non-judicial stamp paper is for everything else - property deals, rental contracts, business agreements, and more. It’s the most common type of stamp paper in India, used to validate documents that don’t involve direct court proceedings. Governed by the Indian Stamp Act, 1899, these stamps serve as proof that the required stamp duty has been paid, making your agreements legally enforceable.
Property transactions, sale deeds and lease agreements require stamp duty payments based on state-specific rates. Missing these payments renders property documents legally invalid.
Business agreements like partnerships and loan contracts need proper stamping to be binding in disputes. Financial institutions particularly rely on stamped documents for loan enforcement.
Power of Attorney documents typically use ₹100 stamps, while affidavits often need ₹50-100 denominations. Using incorrect values risks document rejection.
While physical stamp papers work, they come with drawbacks - finding vendors, verifying authenticity, and risking damage or loss. That's where non-judicial e-stamp papers step in. These digital versions provide the same legal validity as traditional stamps, but with added security and convenience.
Let's examine them.
What is a Non-Judicial E-Stamp Paper?
Non-judicial e-stamp paper is the digital version of regular non-judicial stamps - used for the same everyday agreements (rental contracts, property deals, affidavits) but without the physical paper. It's legally valid across most Indian states and comes with built-in security features that make fraud nearly impossible.
Here’s some of their key features:
- Instant digital issuance: Buy it online through authorized portals like SHCIL, and get a certificate immediately without having to wait for and hunt for vendors.
- State-approved security: Each e-stamp has a unique ID that registrars can verify online, replacing the old watermark checks on physical stamps.
- Wider acceptance: States like Maharashtra, Karnataka, and Delhi now prefer e-stamps for common documents like rental agreements and power of attorney.
While non-judicial e-stamps handle most everyday agreements digitally, high-value property deals often use another method: Franking.
Instead of printing certificates, banks physically stamp your documents with special machines. Equally legal, but just a different approach for bulk transactions. Here’s how it works…
What is Franking and How Does It Work?
Franking is how banks and authorized agents mark documents to prove stamp duty has been paid. It's like a hybrid between traditional stamp papers and modern e-stamping.
If you’ve ever dealt with property papers or loan agreements, you’ve probably heard about it. Instead of buying physical stamps or digital certificates, you take your agreement to an approved center, pay the duty (plus a small franking fee), and they imprint a red stamp directly onto the document using a government-regulated machine.
Here's why people still use it:
That red stamped impression gives you something real to hold onto, which matters when you're dealing with big purchases. It’s nearly impossible to forge, giving parties tangible proof of duty payment.
In states like Maharashtra, property buyers actually prefer this old-school method because it feels more official than digital certificates. While it creates a digital record too, the main draw is that physical mark banks put directly on your documents.
For commercial leases or business contracts, that extra layer of verification can make all the difference in disputes.
But franking is not all fun and games.
Couple limitations to consider:
- Banks can only process a limited amount of franking each day, which might delay your property transaction. For large deals, it's smart to check with the bank first about their capacity.
- Unlike digital options, franking doesn't allow changes or refunds once completed. This makes it better for final agreements rather than documents that might need adjustments later.
Alright. While franking handles the heavy-duty stamping for property and loans, there's a simpler stamp for everyday money matters - the humble revenue stamp. Those small ₹1 stamps you've seen on receipts aren't just decorative; they're legally required for cash transactions above ₹5,000. Unlike franking's bank-processed stamps, revenue stamps are available at post offices and get stuck right onto receipts, serving as mini proof-of-payment for financial exchanges.
What Are Revenue Stamps
Those little ₹1 stamps you've seen on rent receipts have a surprisingly important job. Known as revenue stamps, these small adhesives serve as official proof that taxes or fees have been paid on financial transactions. It's a system being used in India since 1899 under the Indian Stamp Act.
Key things to know about revenue stamps:
- These stamps become mandatory when cash transactions exceed ₹5,000, whether for rent payments, loan receipts or commissions. The requirement helps prevent tax fraud by basically creating a trail for big monetary exchanges that the authorities can trace if they need to.
- Revenue stamps are the simplest form of legal validation. Just stick one on and sign across it. This basic step turns ordinary receipts into documents courts will accept if disputes come up later.
- While you'll mostly use the ₹1 version, higher denominations exist for specific legal papers. What makes them special is the requirement to sign across the stamp, which helps prevent reuse and forgery in important transactions.
Where to get and how to use them:
Post offices remain the official and cheapest source, where they cost exactly what they should - ₹1. While local vendors also stock them, they often charge slightly more for their convenience. To be valid, the stamp must be physically affixed to the document and signed across by the payer.
Now, while those little ₹1 stamps handle everyday money receipts, courts need something more official when you're filing cases. Enter court fees stamps.
These are specialized stamps (either stuck on or pressed into documents) that prove you've paid required fees to submit legal petitions. Unlike revenue stamps' fixed ₹1 value, these vary by case type and state rules.
I’ll break them down next.
Court Fees Stamps
When filing legal cases in India, regular stamp papers won't work - courts require specialized court fees stamps to process your documents. These come in two forms: adhesive stamps you affix to petitions (similar to postage stamps) or impressed stamps that officials emboss directly onto court papers. The amount you'll need varies significantly depending on both your case type and which state you're filing in - a property dispute in Maharashtra could require ₹500 in stamps while the same case in Uttar Pradesh might need ₹1,000. Each state government maintains strict rules about these stamps through their local Court Fees Acts, meaning you can't just use any stamp you find. Before heading to court, it's crucial to verify the latest fee schedule for your specific case, as using outdated amounts or wrong stamp types will get your filing rejected immediately.
E-Stamping
E-stamping, India’s digital alternative to physical stamp papers, lets you pay stamp duty online and get a secure certificate in minutes. Governed by the Indian Stamp Act, 1899 (with state-specific tweaks), it’s now the preferred method for property deals, leases, and contracts across 22+ states.
Gone are the days of hunting down stamp vendors or worrying about counterfeit stamps.
How it works:
- Visit an authorized portal (like SHCIL) or approved bank/post office.
- Enter document details: Property value, parties’ names, and duty amount (often auto-calculated).
- Pay online via UPI, net banking, or demand draft.
- Get your e-certificate With a Unique ID (UIN) for instant verification.
The entire process takes under 15 minutes - a far cry from the hours spent chasing physical stamps. Plus, the system automatically checks for errors, reducing rejections at registration offices.
Why This Beats Traditional Methods:
- No more fraud: Each e-stamp’s UIN can be verified online, unlike physical stamps where fakes slip through.
- Faster processing: Property registrations that took days now wrap up in hours.
- All-digital records: Lose your copy? Just re-download it – no more "stamp paper safekeeping" stress.
- Pay securely: All transactions use bank-grade encryption, with immediate confirmation sent to both parties - no more uncertainty about whether payments reached the government.
While e-stamping modernizes how we handle today's transactions, India's financial history has its own fascinating chapter - hundi papers.
Hundi Paper
Hundi papers are traditional Indian financial instruments that functioned as promissory notes or bills of exchange, often formalized with revenue stamps to give them legal standing under historical British regulations
Long before digital banking, Indian merchants used hundis - handwritten notes that worked like a cross between IOUs and wire transfers. If a Mumbai trader needed to pay a Kolkata supplier, they'd issue a hundi redeemable through a trusted local contact, no banks required. The British formalized the system by requiring revenue stamps, giving these informal promises legal standing.
Understanding Different Hundi Types
- Darshani Hundi
The "pay now" version - you'd get your money as soon as you presented this hundi to the right person.
- Muddati Hundi
More like an "IOU" with a set payment date - useful when buyers needed time to arrange funds.
- Sahaj Hundi
Simple money transfers between local businesses who knew and trusted each other.
And beyond these main types, hundis had specialized versions for unique situations:
- Miadi Hundi
The "instant cash" option, paid the moment you presented it (like a modern demand draft).
- Jokhami Hundi
Came with built-in collateral, so lenders had backup security if things went sideways.
- Namjog Hundi
Required the payee’s signature to cash it, adding an extra anti-fraud step.
- Dhan Hundi
Swapped goods instead of money, acting like a barter system with paperwork.
While largely replaced by modern banking, hundis haven't disappeared completely. Certain business communities still use them for their simplicity. You can still spot their influence today in pockets of traditional commerce.
In Surat's textile markets, some wholesalers prefer hundis for same-day fabric transactions - no bank delays. Rajasthan's marble traders occasionally use them as credit guarantees between long-standing business families. Even some NRIs quietly rely on hundi networks for quick, fee-free remittances to villages where formal banking lags.
Well, what kept them alive, you ask? Three simple advantages:
- Speed: Transactions conclude in hours, not days.
- Trust-based: Built on generations of community relationships.
- Cost-effective: No processing fees or currency conversion charges.
That said, their use has shrunk dramatically post-demonetization and with UPI's rise.
Now, hundis used to thrive on personal trust, but modern legal systems demand verified proof. This is where the notary's stamp comes in.
Notary Stamps
Notary stamps serve as the critical authentication tool for legal documents, providing verifiable proof that a licensed notary has properly identified signatories and witnessed document execution.
For those unfamiliar, a notary is a state-appointed official who verifies identities and prevents fraud in legal paperwork - think of them as professional witnesses for important signatures.
These stamps transform ordinary agreements into legally binding instruments by meeting strict state-mandated requirements that vary across jurisdictions.
In Maharashtra for example, notaries must use bilingual stamps with commission details in both Marathi and English, while Karnataka requires specific ink colors for different document types.
Two Mandatory Requirements:
- Complete Identification Markings: Every valid stamp must permanently display the notary's full commissioned name, state-issued identification number, jurisdiction boundaries, and unambiguous expiration date.
- State-Specific Technical Specifications: Physical stamps require either indelible ink impressions or raised embossed seals that reproduce clearly on photocopies, while digital notarizations must incorporate encrypted digital certificates.
These stamps become absolutely necessary for:
- Property deeds that need to be officially registered
- Loan paperwork that banks have to approve
- Sworn statements that courts will accept as evidence
Without proper notarization, these documents face automatic rejection by government agencies and financial institutions.
Now, while the notary's stamp provides contemporary legal validation, wills require specialized stamp paper authentication for testamentary documents that only takes effect after death...
Wills Stamp Paper
Let’s face it - no one likes thinking about what happens after they’re gone. But a will is more than just a legal formality; it’s the only way to ensure your hard-earned assets, property, and even the care of your children are handled exactly as you’d want. Governed by the Indian Succession Act, 1925, a valid will acts as your final instruction manual, cutting through family disputes and bureaucratic red tape.
In India, wills fall into two broad categories. Most of us will deal with unprivileged wills - the standard type that requires a written document, your signature, and two witnesses to attest (they don’t need to know the contents, just that you signed willingly).
Then there’s the privileged will, a special provision for soldiers, sailors, or airmen in active service, which can even be oral or handwritten without witnesses in urgent situations.
While drafting a will seems daunting, it’s surprisingly straightforward if you cover these essentials:
- Clarity of intent: The document must unambiguously state it’s your will and reflect your free will (no vague language or pressure from others).
- Asset inventory: List properties, bank accounts, and personal items explicitly to avoid confusion - don’t just say “all my possessions.”
- Beneficiary details: Full names and relationships prevent misidentification
And here’s the good news:
Wills don’t require stamp paper or registration to be legal. But registering it at the local sub-registrar’s office (with witnesses present) adds an ironclad layer of authenticity, making it nearly impossible to challenge later. You can update or revoke your will anytime - by creating a new one, physically destroying the old version, or through major life changes like marriage (which automatically voids prior wills).
Watch for these pitfalls however: Even a technically sound will can be contested if family members think there is some sort of foul play involved. Courts often scrutinize wills where:
- The primary beneficiary was present during signing (raises coercion concerns).
- The will contradicts longstanding family arrangements without explanation.
- The testator was elderly or ill when signing (medical records may be requested).
Wills enjoy a rare exception in India’s stamp duty system.They’re among the few legal documents that don’t require stamp paper at all. But this is the exception, not the rule. For nearly every other agreement, from rent receipts to court filings, the government mandates specific stamp values tailored to the transaction’s weight. The difference between a ₹10 stamp and a ₹25,000 one isn’t just about rupees - it’s about legal validity.
What Are the Common Denominations and Variations of Stamp Papers in India?
Stamp papers in India mainly include non-judicial (₹10–₹25,000) for private agreements, judicial (₹50–₹25,000) for court use, adhesive stamps for banking, and ₹1 revenue stamps for cash receipts over ₹5,000.
Now, choosing the correct stamp paper value isn't just about price. It's about legal validity. While we've covered judicial and non-judicial stamps, there's an important third category I have not yet addressed: special adhesive stamps. These aren't your typical stamp papers, but serve crucial functions in banking and shipping documents. Let's break down all the options:
1. Non-Judicial Stamp Papers (₹10 to ₹25,000)
Stamps for everyday legal documents, with values attached to specific uses:
Lower denominations (₹10-100): Handle basic declarations like affidavits or undertakings. For example, a simple name change affidavit typically requires ₹100 stamp paper in most states.
Higher values (₹500-25,000): Mandatory for significant transactions. A ₹25,000 stamp might be needed for a Mumbai apartment sale agreement, while a ₹500 stamp covers most rental contracts.
2. Judicial Stamp Papers (₹50 to ₹25,000)
Stamps that are specific for agreements involving the court.
Standard filings (₹50-500): Covers most affidavits and small claims. A ₹50 stamp is enough for a basic sworn statement in district courts.
Commercial disputes (₹1,000+): High-value lawsuits require proportionate stamps. Filing a ₹10 lakh property suit in Delhi would need approximately ₹7,000 in judicial stamps.
3. Special Adhesive Stamps & Revenue Stamps
Here's an important gap we need to fill - special adhesive stamps. Unlike regular stamp papers, these are gummed labels used primarily by banks and shipping companies for documents like bills of lading or loan agreements.
They range from ₹1 to ₹5,000 and must be physically affixed to documents.
Revenue stamps serve a different purpose - the simple ₹1 stamp validates cash receipts above ₹5,000. Forget this on your rent receipt, and watch it lose legal standing for tax purposes.
Some things to remember:
- Maharashtra and Telangana have different minimum denominations (₹100 vs ₹20)
- Judicial stamps cannot substitute non-judicial ones, and vice versa
- Always verify current rates with local stamp vendors or treasury offices
Frequently Asked Questions (FAQs)
Q: What are the main types of stamp paper used in India?
A: India uses five key types: judicial stamp paper for court work like lawsuits, non-judicial for everyday agreements like property deals, and e-stamp paper for digital convenience. Don’t forget franking, where banks imprint documents, and those tiny ₹1 revenue stamps for cash receipts over ₹5,000. Each type has a specific role and mixing them up will nullify your document.
Q: How is e-stamp paper different from physical stamp paper?
A: E-stamp paper is the digital, hassle-free version of physical stamps with the same legal power. You get it instantly online through portals like SHCIL, paying the exact duty amount instead of fussing with fixed denominations. Its unique UIN allows instant verification, kicking counterfeit risks to the curb. While both work for agreements, e-stamps add security and convenience no more hunting for vendors or dealing with torn stamps.
Q: When should judicial stamp paper be used instead of non-judicial?
A: Use judicial stamp paper only for court-related matters. It's mandatory for filing cases, submitting affidavits, or paying court fees. Non-judicial stamps, on the other hand, handle everyday agreements like rent contracts or property deals. The key difference? Judicial stamps are governed by the Court Fees Act and validate documents for court use, while non-judicial stamps (under the Indian Stamp Act) general legal agreements, meant for outside of the courtroom use. Never mix them up.
Q: What is franking and how is it done in India?
A: Franking is an alternative to traditional stamp papers where banks or authorized centers physically stamp (frank) your document to show stamp duty payment. Here's how it works: You take your agreement (like a property sale or loan document) to an approved franking center, pay the duty amount plus a small fee, and they imprint a special red stamp directly onto your papers using a franking machine. Unlike e-stamps, this creates a physical mark on your document while also generating a digital record.
Q: Where can I purchase non-judicial and e-stamp papers online?
A: E-stamp papers are available through authorized portals like SHCIL (Stock Holding Corporation of India Limited), which provides secure digital certificates for documents like rental agreements and property deals. Some states like Maharashtra and Karnataka have implemented digital stamp duty payment systems through their official registration portals. For traditional non-judicial stamp papers, physical purchase from licensed vendors is still required in most cases. However, the shift toward e-stamping is gradually replacing this system across many states.
