Judicial and Non-Judicial Stamp Papers have been in use in many countries. However, lately, electronic versions (E-Stamp paper) are being developed in order to increase ease of doing business and also to reduce the risk of fraud.
The stamp papers are an important source of income for many developing countries. In some countries, it’s difficult to collect direct taxes. That’s where stamp duty is a good source of revenue. Bangladesh is one such country that collects a large sum of tax revenue from stamp duty.
Stamp papers have also been widely used to collect taxes on various documents. The papers are always bought blank from licensed stamp vendors, post offices, Government Treasury offices, and courts. The concerned persons then write their mutual terms of the contract on the paper and lodge it with the court or concerned authority for legal validation.
This is an efficient and legal way of collecting taxes people owe to the government. It is also a passive way to get stamping documents legalized and authenticated without the obligation of submitting them to a responsible and authorized government authority.