|
Sr. |
Basis |
Transfer of shares |
Transmission of shares |
| 1. | Nature | Transfer of shares takes place by a voluntary a deliberate act if the transferor. | Transmission is the result of the operation of law. |
| 2. | Instrument used | In case of transfer, the transferor and transferee have to execute an instrument of transfer | The shares are transmitted on the death insolvency of member and instrument of transfer is not required only a proof of his title to the shares is required. |
| 3. | Method | Transfer is the normal method of transferring property in the shares | Transmission of share takes place only on the death or insolvency or liquidation. |
| 4. | Stamp duty | In case of transfer stamp duty is payable on the amount of the market value of shares | No stamp duty is payable in case of transmission. |
What is the difference between transfer of shares and transmission of shares?
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