Article 53 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Article 53 is the Schedule entry for a receipt as defined by section 2(23). The central Schedule prints a single figure, one rupee, for a receipt for any money or other property whose amount or value exceeds five thousand rupees. Most of the Article is the long list of exemptions that follows, from a receipt endorsed on a duly stamped instrument to a banker's receipt for a deposit.
The central Schedule prints one rupee for a receipt for money or other property the amount or value of which exceeds five thousand rupees. Eight listed kinds of receipt, (a) to (h), are exempted, some subject to provisos. A receipt is one of the Union instruments named in section 9(2)(a), so the rate is the one the central Schedule prints; any reduction or remission under section 9 and later amendments should be checked.
This article is based on the consolidated text of the Act consulted (latest amendment shown: Act 13 of 2021). Later amendments should be checked. Stamp duty on most instruments is fixed by the law and schedule of the State where the instrument is executed; receipts are among the exceptions named in section 9(2)(a). This article explains the central Act only.
The charge
| Article | Description of instrument as printed | Proper stamp-duty as the central Schedule prints it | Exemptions as printed |
|---|---|---|---|
| 53 | Receipt for any money or other property the amount or value of which exceeds five thousand rupees | One rupee | (a) to (h), set out below |
The footnotes show "five thousand rupees" as substituted by Act 23 of 2004, s. 117, for "five hundred rupees", and a footnote marker 3 which says "Subs. by Act 32 of 1994, s. 99, for 'Twenty paise' (w.e.f. 13-5-1994)". That marker is printed against the duty in Article 52 as well as against the duty in Article 53, and we do not tie the footnote to either.
Section 2(23) defines "receipt" in the Act; see our article on the definitions of conveyance, bond, lease, mortgage-deed and settlement, which covers clause (23). A business that issues many receipts, for example a trader or a society, can ask for its receipt forms to be checked through our legal consultation service.
The exemptions, one by one
The Article prints exemptions under the heading "Receipt".
| Clause | What is exempted, as printed |
|---|---|
| (a) | A receipt endorsed on or contained in any instrument duly stamped, or any instrument exempted under the proviso to section 3 (instruments executed on behalf of the Government), or any cheque or bill of exchange payable on demand, acknowledging the receipt of the consideration-money therein expressed, or the receipt of any principal-money, interest or annuity, or other periodical payment thereby secured |
| (b) | A receipt for any payment of money without consideration |
| (c) | A receipt for any payment of rent by a cultivator on account of land assessed to Government revenue, or (in the States of Madras, Bombay and Andhra, as they existed immediately before the 1st November, 1956) of inam lands |
| (d) | A receipt for pay or allowances by non-commissioned or petty officers, soldiers, sailors or airmen of the Indian military, naval or air forces, when serving in such capacity, or by mounted police-constables |
| (e) | A receipt given by holders of family-certificates in cases where the person from whose pay or allowances the sum comprised in the receipt has been assigned is a non-commissioned or petty officer, soldier, sailor or airman of any of the said forces, and serving in such capacity |
| (f) | A receipt for pensions or allowances by persons receiving such pensions or allowances in respect of their service as such non-commissioned or petty officers, soldiers, sailors or airmen and not serving the Government in any other capacity |
| (g) | A receipt given by a headman or lambardar for land-revenue or taxes collected by him |
| (h) | A receipt given for money or securities for money deposited in the hands of any banker, to be accounted for |
The copy prints "of in am lands" in clause (c); this is a printing slip for "inam lands", and we quote it with that note. The footnotes record the substitutions that produced the present words in clauses (a), (c), (d), (e) and (f), among them the Andhra (Adaptation of Law on Union Subjects) Order, 1954, the Adaptation of Laws (No. 2) Order, 1956, Act 35 of 1934 and Act 10 of 1927, and the A.O. 1950; we do not reproduce them.
The two provisos to clause (h)
- First proviso. The exemption applies only if the receipt "is not expressed to be received of, or by the hands of, any other than the person to whom the same is to be accounted for".
- Second proviso. The exemption does not extend to a receipt or acknowledgment for any sum paid or deposited for or upon a letter of allotment of a share, or in respect of a call upon any scrip or share of, or in, any incorporated company or other body corporate or such proposed or intended company or body, or in respect of a debenture being a marketable security.
So a bank deposit receipt is exempted, but a receipt for an application or call money on shares, or on a marketable debenture, is not, whoever issues it.
What the exemptions have in common
Clause (a) is for receipts that are already covered by another stamped instrument. Clause (b) is for payments without consideration. Clauses (c), (d), (e), (f) and (g) are for rent, service pay, pensions and revenue collections of the kinds named. Clause (h) is for deposits with a banker. Each is a specific class; a receipt outside every class and above five thousand rupees falls under the charge.
How the Act's sections link to Article 53
- Section 2(23) defines the term; clause (23) is in the list of clauses of section 2 and the definition's details are explained in our article on the section 2 definitions.
- Section 30 deals with a receipt given on demand and the duty on it, with a special rule on renewal premiums on fire insurance; section 34 deals with an unstamped receipt found in the audit of a public account; and section 65 is the penalty for breaches. Our article on sections 30, 34 and 65 explains them.
- Article 47 B(2) charges a receipt for a renewal premium on an original policy, and the copy prints a cross-entry "See also Policy of Insurance " near Article 54. See our article on Article 47.
An example with invented names
Sharma Brothers sell a machine and the buyer, Daksh Enterprises, pays the price by cheque payable on demand. Sharma Brothers write a receipt for the full price on the invoice. The receipt is contained in an instrument and acknowledges a cheque payable on demand: exemption (a) is the clause to check. Suppose instead that Sharma Brothers write a separate receipt for a cash payment of Rs. 8,000 for goods. The amount exceeds five thousand rupees and no exemption fits, so the central Schedule prints one rupee. As a receipt is a Union instrument under section 9(2)(a), that is the rate under the central Schedule; any reduction under section 9 and later amendments should be checked.
A different case: an applicant pays money into a bank for or upon a letter of allotment of a share and gets an acknowledgment from the banker. The second proviso to clause (h) says the banker's-deposit exemption does not extend to a receipt or acknowledgment for a sum paid or deposited for or upon a letter of allotment of a share, so that acknowledgment is not exempted on this ground.
What the text does not say
The copy consulted does not say how a receipt for part payments is to be added up against the five thousand rupee threshold. Section 30 and the definition in section 2(23) are the places the Act speaks on receipts; this article does not go beyond them. The references in clauses (d) to (f) to the forces and to mounted police-constables are quoted as printed; the reader should check the current law for the corresponding provision.
Need help with receipts and acknowledgments?
If your business issues receipts, acknowledgments or deposit slips and you want to know which of them need a stamp and which fall within an exemption, our team can help under our legal consultation service. We go through the forms you use and compare them with the Article.
Key takeaways
- Article 53 prints one rupee for a receipt for money or other property exceeding five thousand rupees.
- A receipt is a Union instrument under section 9(2)(a); the rate is the central Schedule's, subject to any reduction under section 9.
- Eight exemptions (a) to (h) cover receipts on stamped instruments, payments without consideration, rent by cultivators, service pay and pensions, revenue collections and banker's deposits.
- The banker's-deposit exemption does not extend to share application, call and marketable-debenture receipts.
- The copy prints "of in am lands" in clause (c).
Read next
- Sections 30, 34 and 65 of the Indian Stamp Act, 1899: stamped receipt on demand, unstamped receipts and penalty
- Article 47 of Schedule I: policy of insurance
- Articles 13, 49, 37 and 50 of Schedule I: bill of exchange, promissory note, letter of credit and protest
- Section 9 of the Indian Stamp Act, 1899: power to reduce, remit or compound stamp duty
Disclaimer: Based on the consolidated text of the Indian Stamp Act, 1899 published by the Department of Revenue, whose latest amendment shown is Act 13 of 2021, as consulted on 2 October 2026. Only the central text is covered: stamp duty on most instruments is fixed by the law and schedule of the State where the instrument is executed, and State amendments, rules, notifications and later amendments should be checked. This article is general information, not legal advice; check the official text before acting.