Elucidate the following: Significance of attestation, registration and stamp duty with regard to execution of an Agreement.

Significance of attestation, registration and stamp duty with regard to execution of an Agreement Attestation: It is not necessary for an agreement to be attested by any witness. But agreements are usually attested by one witness. Where registration is desired, the agreement should be attested by two witnesses. The purpose of attesting an agreement is to authorise it simply. A document's attestation is required under Indian law for several reasons. According to section 68 of the Indian Evidence Act, 1872, if a document is required by law to be attested, it shall not be used as evidence until one attesting witness at least has been called for the purpose of proving its execution, if there be an attesting witness alive, and subject to the process of the Court and capable of giving evidence. However, it shall not be necessary to call an attesting witness in proof of the execution of any document, not being a will, which has been registered in accordance with the provisions of the Indian Registration Act, 1908, unless its execution by the person by whom it purports to have been executed is specifically denied. Registration: Agreements not relating to immovable property and agreements not creating an interest in immovable property are not compulsorily registrable. Only agreements creating an interest in immovable property worth more than ₹ 100 are required by law to be registered. Significance of Registration: It provides authenticity and validity to a document. The use of registered documents aids in protection from fraud and misappropriation. Registered document can also be used as legitimate court evidence. Registered document ensures transparency in deals. If the document is registered, it becomes easier to find out if there's any kind of dispute or ongoing litigation with regard to a property. Stamp Duty: For the purpose of stamp duty, agreements are covered by Article 5 of Schedule I to the Indian Stamp Act, 1899. The stamp duty for different kinds of agreements varies from State to State. While drafting an agreement, the draftsman should ascertain the proper stamp duty having regard to the changes made in the Stamp Act in the State where the agreement is executed. The stamp duty is necessary for all agreements such as agreement to sale, conveyance deed, gift deed, mortgage deed, partition deed, power of Attorneys, leave and license agreement, lease deeds and so on. Basically, stamp duty and stamp papers are commonly used in almost all of the commercial transactions. To be precise stamp duty is not a transaction duty but a document impost.