' (3) But neither of the foregoing provisos is to relieve any person from any fine or penalty incurred by him for not cancelling an adhesive stamp.
" 36. A bill of exchange or promissory note which purports to be drawn or made out of the United Kingdom is, for the purpose of determining the mode in which the stamp duty thereon is to be denoted, to be deemed to have been so drawn or made, although it may in fact have been drawn or made within the United Kingdom.
37. (1) Where a bill of exchange or promissory note has been written on material bearing an impressed stamp of sufficient amount but of improper denomination, it may be stamped with the proper stamp on payment of the duty, and a penalty of forty shillings if the bill or note be not then payable according to its tenor, or of ten pounds if the same be so payable.
" (2) Except as aforesaid, no bill of exchange or promissory note shall be stamped with an impressed stamp after the execution thereof " 38. 11) Every person who issues, in dorses. transfers, negotiates, pre sents for payment, or pays any bill of exchange or promissory note liable to duty and not being duly stamped shall incur a fine of ten pounds, and the person who takes or receives from any other person any such bill or note either in pay ment or as a security, or by purchase or otherwise, shall not be entitled to recover thereon, or to make the same available for any purpose whatever.
(2) Provided that if any bill of exchange payable on demand or at sight or on presentation, is presented for pay ment unstamped. the person to whom it is presented may affix thereto an adhesive stamp of one penny, and cancel the same, as if he had been the drawer of the bill, and may thereupon pay the sum in the bill mentioned, and charge the duty in account against the person by whom the bill was drawn, or deduct the duty from the said sum, and the bill is, so far as respects the duty, to be deemed valid and available.
" (3) But the foregoing proviso is not to relieve any person from any fine or penalty incurred by him in relation to such bill.
" 39. When a bill of exchange is drawn in a set according to the custom of merchants, and one of the set is duly stamped, the other or others of the set shall, unless issued or in some manner negotiated apart from the stamped bill be exempt from duty : and upon proof of the loss or destruction of a duly stamped bill forming one of a set, any other bill of the set which has not been issued or in any manner negotiated apart from the lost or destroyed bill may, although unstamped, be admitted in evidence to prove the contents of the lost or destroyed bill." If a receipt is placed upon a bill it requires a penny stamp, but the name of a banker (whether accompanied by words of receipt or not) written in the ordinary course of his business as a banker upon a bill of exchange or promissory note duly stamped, is exempt.
(See RECEIPT.) A foreign bill which is both drawn and payable abroad, does not require to be stampcd in this country if received by a banker merely for acceptance and return ; but if indorsed or negotiated in this country it must be stamped. Sec the follow ing circular which was issued by the Board of Inland Revenue in May, 1907 : " The Board of Inland Revenue, having reason to believe that some misapprehension exists on the subject, desire to call attention to the fact that bills of exchange, although both drawn and expressed to be payable out of the United Kingdom, are never theless chargeable with stamp duty if actually paid, or indorsed, or in any manner negotiated in the United Kingdom.' (See BILL OF EXCHANGE, etc.. in the first Schedule to the Stamp Act, 1S91. See also Finance Act, 1899, Section 10.) " The duty chargeable on a bill of this nature, if payable at a period exceeding three days after date or sight, is governed by the following scale : " When the amount or value of the money for which the Bill is drawn does not exceed Z5 Id.
Exceeds Z5 and does not exceed Z10 . 2d.
1,10 . 3d.
£100 . 6d. and where the amount exceeds £100, 6d. for every £100. and also for any fractional part of D 00 of that amount.
The Board further desire to call attention to Section 3S (1) of the Act of 1891 which imposes a fine of 410 upon every person who issues, indorses, transfers, negotiates, sents for payment, or pays any bill of change liable to duty and not duly stamped." (See BILLS OF EXCHANGE ACT, 1882 (where a reference is given to the articles which include the various sections of the Act) ; ACCEPTANCE ; ACCEPTANCE, GENERAL ; Ac CEPTANCE, QUALIFIED ; ACCEPTANCE FOR HONOUR ; ACCEPTOR, ACCOMMODATION BILL, AGENT, ALLONGE, ALTERATIONS, AMOUNT OF BILL OR CHEQUE, ANSWERS, ANTE DATED, BEARER, BILLS FOR COLLECTION, BILL IN A SET, CANCELLATION OF BILL OF EXCHANGE, CHEQUE, CONSIDERATION FOR BILL OF Ex CHANGE, DATE. DAYS OF GRACE, DELIVERY OF BILL, DISHONOUR OF BILL OF EXCHANGE, DOCUMENTARY BILL, DRAFT AFTER DATE, DRAWEE, DRAWER, FOREIGN BILL, FORGERY. HOLDER FOR VALUE, HOLDER IN DUE COURSE. HOLDER OF BILL OF EXCHANGE, INCHOATE INSTRUMENT, INDORSEMENT, INDORSER, IN LAND BILL, LOST BILL OF EXCHANGE, NEGO TIATION OF BILL OF EXCHANGE, NOTING, ORDER, OVERDUE BILL, PART PAYMENT, PARTIES TO BILL OF EXCHANGE, PAYEE, PAYING BANKER, PAYMENT BY, PAYMENT FOR HONOUR, PAYMENT OF BILL, POST DATED, PRESENTMENT FOR ACCEPTANCE, PRESENTMENT FOR PAYMENT, PROMISSORY NOTE, PROTEST, REFEREE IN CASE OF NEED, RETIRING A BILL, SUPRX PROTEST, TIME OF PAYMENT OF BILL, TRANSFEROR BY DE LIVERY, UNIFICATION OF LAWS OF BILLS OF EXCHANGE.)