Stamp Duties
They are duties paid basically on Instruments, (stamp duties Act, Section 23) and for the purposes of stamp duty, and Instrument is defined to include every written document. If a transaction is effected orally or arises only from the conduct of the parties involved so that there is no document to stamp, then there can be no duty. It is therefore advisable that transactions must always be in writing to avoid unnecessary legal tussle, although it is dependent on the level of sensitivity of the transaction.
Essence:
The primary essence of duty stamping agreements and/or Instruments is that such documents become valid, legal and admissible in any Tribunal or court of record in Nigeria. Therefore, the duty stamping of Instruments is actually in the best interest of the Contractor or Consultant in case of trouble.