STAMP DUTIES.

Otago Daily Times, Issue 20705, 1 May 1929, Page 7

STAMP DUTIES.

THE MODE OF PAYMENT. USE OF FRANKING MACHINES INADMISSIBLE. (Pbb United Fbess Association.) PALMERSTON N-, April 30. An important ruling has been given by the Stamp Duties Department on the question of the mode of payment of stamp duty on agreements and other documents required to be stamped. In the <urse of a case in the local Magistrate’s Court, i- which a hire purchase agreement bad been stamped to the amount of one shilling and threepence by the use o£ a franking maotune. counsel contended that the use of such machines was illegal. The question accordingly was submitted by the court to the Stamp Duties Department at Wellington, from which the following reply has been received:— ” The impressing by the use of a recording machine on the above-described instrument of stamp values to the amount of Is 3d does not make a document a duly stamped instrument. Provieion is made in section 17 of the Fost and Telegraph Act for the use of recording machines for the purpose of prepayment of postage and chargee on telegrams, in addition to tbe payment of stamp duty upon receipts. There is no other purpose for which the recording machine can be used. amoun t of Is 3d so impressed on the document has been treated as money paid to the Post Office for services, whereas had the document been properly the amount of duty would nave been paid into the public account as part or public revenue derived from taxation.