Services › Corporate › Share Transfer

Transfer shares cleanly and on record

A share transfer needs the right instrument, stamp duty, board approval and an updated register. For most private companies that are not small companies, shares must now be in demat form before they can be transferred. We check which route applies and handle it.

Handled by qualified CS and CA3 to 7 working daysGovernment fees shown separately

What is included

  • Review of AOA transfer restrictions and pre-emption rights
  • SH-4 share transfer deed drafting
  • Stamp duty computation and payment guidance
  • Board resolution approving the transfer
  • Endorsement of share certificates
  • Register of members update
  • Demat route support through the depository participant where required

What is not included

  • Stamp duty payable on the transfer
  • Valuation report where required for tax purposes
  • Demat account opening and ISIN charges

Who needs this

Shareholders of private companies selling, gifting or transferring shares, including founder exits and investor entries.

Documents required

  • Transferor and transferee PAN and address proof
  • Original share certificates
  • Agreed price or valuation and payment proof
  • Demat account details, where shares are held in demat

How it works

Share the transfer details and we confirm the route

We draft SH-4 and resolutions and compute stamp duty

The board approves, records are updated and certificates endorsed or demat credit completed

Timeline

3 to 7 working days. Government processing times are outside our control; we track and follow up on every application.

If you skip it

Penalty exposure: An unstamped or improperly executed transfer is not valid evidence of ownership. Non-compliance with demat rules can attract a penalty of up to Rs 10,000 plus Rs 1,000 per day of continuing default, up to Rs 2 lakh for the company.

What this service creates next

Completing this is the start of a recurring set of obligations. Under an AdvisoNet plan these are tracked in your Compliance Passport and handled before they fall due.

  • Update of MGT-7 or MGT-7A at year end
  • Change in directors if the transferor is exiting the board
  • Income tax reporting of capital gains for the seller

See AdvisoNet plans from ₹1,499 per month

Frequently asked questions

What is the stamp duty on a share transfer?

Currently 0.015% of the consideration for transfers outside a stock exchange, under the amended Indian Stamp Act.

Do private company shares have to be in demat?

Under Rule 9B, private companies other than small companies had to dematerialise shares by 30 June 2025. A shareholder of such a company must hold shares in demat before transferring them.

Which companies count as small companies?

From December 2025, a private company with paid-up capital up to Rs 10 crore and turnover up to Rs 100 crore, subject to exclusions such as holding or subsidiary companies.

Fees shown are AdvisoNet professional fees exclusive of GST and government charges. Content is general information, not legal advice; applicability depends on facts and current law.