ADVOKS GLOBAL · KENYA
Stamp Duty Act
60. Directions as to duty on instruments increasing rent and on certain leases
Edition: 2026-07-01 · In force
60. Directions as to duty on instruments increasing rent and on certain leases
(1)An instrument, whereby the rent reserved by any other instrument chargeable with duty and duly stamped as a lease is increased, shall not be charged with duty otherwise than as a lease in consideration of the additional rent thereby made payable.(2)If, in accordance with the articles of association of any company, or in pursuance of any agreement with any company, a shareholder in that company is entitled to a lease from the company, then—(a)where such a lease is granted to the first holder of the shares, the consideration paid to the company for the shares shall be deemed to be a premium in respect of the lease, and the lease shall be chargeable with ad valorem duty accordingly;(b)where such a lease is granted to a subsequent holder of the shares, the consideration paid by the holder for the shares shall be deemed to be a premium paid in respect of the lease notwithstanding that no consideration may have been paid to the company, and the lease shall be chargeable with ad valorem duty accordingly, but, where the lease has been so charged, the duty on the share transfer shall be charged at the rate of five shillings only, and, if ad valorem duty has already been paid thereon in an amount exceeding five shillings, allowance shall be made for the excess;(c)where such a lease is assigned to a holder or transferee of shares, the consideration paid by the holder or transferee for the shares shall be deemed to be consideration for the assignment of the lease, and the assignment shall be chargeable with ad valorem duty accordingly, but, where the assignment has been so charged, the duty on the share transfer shall be charged at the rate of five shillings only, and, if ad valorem duty has already been paid thereon in an amount exceeding five shillings, allowance shall be made for the excess;(d)for the purposes of paragraphs (b) and (c), "consideration" includes the value of any shares comprised in a transfer operating, for the purposes of section 52, as a voluntary disposition inter vivos.