Section 256 IPC: Having possession of instrument or material for counterfeiting Government stamp

Indian Penal Code, 1860

Section 256 IPC at a Glance

Section 256 IPC deals with having possession of instrument or material for counterfeiting Government stamp. It is non-bailable and cognizable, triable by Magistrate of the first class; from 1 July 2024 it is replaced by Section 181 BNS.

Punishment

Imprisonment of either description for a term which may extend to seven years.

Non-Bailable ⓘCognizable ⓘNon-Compoundable ⓘ🏛️ Magistrate of the first class ⓘ
BNS Equivalent

Section 181 →

Section 256 IPC Bare Act Text

256. Having possession of instrument or material for counterfeiting Government stamp

Whoever has in his possession any instrument or material for the purpose of being used, or knowing or having reason to believe that it is intended to be used, for the purpose of counterfeiting any stamp issued by Government for the purpose of revenue, shall be punished with imprisonment of either description for a term which may extend to seven years, and shall also be liable to fine.

Source: Section 256, Indian Penal Code, 1860

Section 256 IPC in Simple Words

Section 256 of the Indian Penal Code (IPC) punishes having possession of any instrument or material for the purpose of being used, or knowing or having reason to believe that it is intended to be used, for counterfeiting any stamp issued by Government for the purpose of revenue.

The punishment is imprisonment of either description for up to seven years, and fine.

Under the First Schedule to the Code of Criminal Procedure, the offence is cognizable, non-bailable, and triable by a Magistrate of the first class.

Ingredients of Section 256 IPC

  • The accused had in his possession any instrument or material
  • The possession was for the purpose of being used, or knowing or having reason to believe that it was intended to be used, for counterfeiting any stamp
  • The stamp was one issued by Government for the purpose of revenue

Punishment Under Section 256 IPC

Imprisonment

Imprisonment of either description for a term which may extend to seven years.

Fine

The offender shall also be liable to fine.

Non-Bailable ⓘCognizable ⓘNon-Compoundable ⓘ🏛️ Magistrate of the first class ⓘ

Possessing an instrument or material for counterfeiting a Government stamp is punishable with imprisonment of either description for up to seven years, and the offender is also liable to fine.

Example of Section 256 IPC

In 2022, Tarun stored steel perforating dies, specialty security inks, and gummed sheets inside his garage in Ranchi. He held these instruments and materials for the purpose of using them, and knowing that his partner, Naveen, also intended to use them, to counterfeit adhesive revenue stamps issued by the Government of India for collecting revenue. Police raided the garage and seized the dies and inks before any fake stamps were made. Tarun is punishable under Section 256 IPC.

When Section 256 IPC Does Not Apply

  • Section 256 IPC does not apply when the accused does not have custody or control over the alleged tool or material.
  • Section 256 IPC does not apply when the person possesses ordinary printing tools or supplies for lawful work without intending to use them, and without knowing or having reason to believe that they are meant to be used, for counterfeiting.
  • Section 256 IPC does not apply when the item intended to be imitated is a private token or ticket rather than a stamp issued by the Government for revenue.

Section 256 IPC in the BNS

Section 256 IPC is now covered under Section 181 BNS.

Section 256 IPC punished possessing any instrument or material for counterfeiting any stamp issued by Government for revenue, with imprisonment of either description for up to seven years and fine. Section 181 BNS absorbs this offence into a unified section covering making, mending, buying, selling, disposing of, or possessing machinery, dies, instruments, or materials for forging or counterfeiting coin, Government stamps, currency-notes, or bank-notes. Under Section 181 BNS, the maximum penalty increases from seven years imprisonment to imprisonment for life, or imprisonment of either description for up to ten years, and fine.

View detailed comparison (IPC 256 vs BNS 181) →

FAQs on Section 256 IPC

What does Section 256 IPC punish?▼

It punishes having possession of any instrument or material for the purpose of being used, or knowing or having reason to believe that it is intended to be used, for counterfeiting any stamp issued by Government for the purpose of revenue.

What is the punishment under Section 256 IPC?▼

Imprisonment of either description for a term which may extend to seven years, and liability to fine.

Is actual counterfeiting required under Section 256 IPC?▼

No. The offence is complete upon possessing the instrument or material with the requisite purpose or knowledge that it is intended to be used for counterfeiting Government stamps.

How is the offence under Section 256 IPC covered under the Bharatiya Nyaya Sanhita, 2023?▼

Section 181 BNS consolidates possession of instruments and materials for counterfeiting stamps, coin, and currency, raising the maximum penalty to imprisonment for life, or up to ten years, and fine.

Is Section 256 IPC bailable?▼

No. The offence is non-bailable and cognizable under the First Schedule to the Code of Criminal Procedure.

Which court tries Section 256 IPC?▼

It is triable by a Magistrate of the first class.

Can Section 256 IPC be compounded?▼

No. Section 256 IPC is not compoundable under Section 320 CrPC.

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Disclaimer: This is for informational purposes only. Always consult a qualified advocate for legal advice.

Sources: Bare Act Text, Indian Penal Code, 1860 · Last updated: 16 Oct 2026 ·