Latest Answer: Stamp duty implications when a partner retires: Stamp duty payable is specified in Schedule 1-A to the Stamp Act. The link is http://registration.ap.gov.in/CitizenServices/ACT/Stamp/StampFees.pdf Department argues that the stamp duty is attaracted under two sub headings in the above schedule: Article No. 41 relating to Instrument of Partnership Article No.46 relating to conveyance In your case under article No.41 : Rs.500/- Under Article No.46: 3% or 1.5% on the retiring partner share in property (Property value at market rate) The above clarification is given by the department. But they are not registering the deeds as they await for clear cut instructions from higher authorities.