3. Replacement of section 8 of the principal enactment

Section 8 of the principal enactment is hereby repealed and the following section substituted therefor:—

8. (1) Otherwise than, when stamp duty is compounded in terms of section 7, the stamp duty payable on any specified instrument shall be paid by means of affixing adhesive stamps to the required value, prior to, or at the time of, the

“Manner of payment of stamp duty.

Act, No. 10 of 2008

execution of the instrument. The value of the stamp duty so paid shall be specified on the face of the instrument so executed:

Provided that, share transfers executed in Sri

Lanka shall be stamped within one month from the execution of the same.

Stamp duty payable on any specified instrument relating to a mortgage or lease of any immovable property may be paid, prior to, or at the time of, the execution of the specified instrument, to a prescribed bank. Where however, the stamp duty cannot be so paid due to reasons beyond the control of the person by whom the stamp duty is payable, the stamp duty shall be paid to the prescribed bank within seven days from the date of such execution. The bank shall thereupon issue a certificate in the prescribed form certifying that the stamp duty has been duly paid and such certificate shall be affixed to the instrument so executed.

Any person executing a specified instrument shall at the time of the execution of such specified instrument which is not stamped with an impressed stamp, cancel the stamps thereon by writing or marking in ink on or across each stamp, his name or initials, thereby preventing the stamp from being used again.

Any specified instrument bearing an adhesive stamp which has not been cancelled in the manner set out in subsection (3) shall be deemed to be unstamped to the extent of the value of such stamp.”.