Hi. We have a Property in Navi Mumbai which is in the name of my Brother. There is no mortgage on the property and it is outright owned by my brother. My brother wish to transfer the property into my name (his sister). Can you please provide the best option here? I think we will need to go for a Gift deed. We want to confirm if gift deed will attract a stamp duty and registration in Maharashtra (Navi Mumbai). We have a CHS society. Please can you confirm the best option along with the cost incurred in doing this. Ready reckoner rate for the property is INR 84000 per sqm and the built up area of the property is 930 sq ft. Awaiting your response.
1) gift deed can be executed by your brother in your name
2) it would attract stamp duty of 2 per cent of market value of property as per ready reckoner rates
3) registration charges have to be paid which would be maximum Rs 30000 or one per cent of value of property which ever is lower
1. The gift deed is most ideal if your brother wishes to instantaneously transfer the title of the property to you. A gift deed requires mandatory registration in the office of sub-registrar.
2. Only a Mumbai based lawyer can tell what stamp duty will be leviable on the gift deed.
Thanks Ajay and Ashish. Ajay - question to you. We are getting varied responses regarding Stamp duty and registration. Some lawyers have said since its a gift deed between brother and sister with blood relations, there would be no stamp duty required. Can you please confirm the process with some explanation and details ? Thanks very much for your assistance.
from 24th april 2015 amendment has been made to mahrashtra stamp act
in article 34 after existing proviso tthe following proviso shall be added
fi residential and agricultural property is gifted to husband , wife , son , daughter , grandson , grand daughter
wife of predeceased son stamp duty shall be Rs 200 only
2) in your case gift is from brother to sister hence stamp duty would be 2 per cent of market value of property
Gift deed even if made between family members like yours requires stamp duty. However the rate is miniscule compared to the sale deed.
Brother and sister are indeed related by blood, so if the law prevailing in your state exempts a property transfer between blood relations from stamp duty then you will be within the realm of it.
Govt. waives stamp duty on transfer of land or flat immovable property to Kin or family members. He announced that now immovable property such as land, house or flat can be transferred to Owner’s Children or even to blood relatives simply by executing transfer deed on Rs. 500/- stamp paper without paying stamp duty and registration fee. This announcement will give good relief to the families of transferors as they will not require to pay 5% stamp duty at market value as per ready Reckoner.
Only Registration charges of Rs. 200- need to be paid.
question to you. We are getting varied responses regarding Stamp duty and registration. Some lawyers have said since its a gift deed between brother and sister with blood relations, there would be no stamp duty required.
Can you please confirm the process with some explanation and details ?
The recent notification of the Maharashtra government to abolish stamp duty on gifts between relatives (Referring to the Maharashtra Stamp Act Amendment Bill 20/2015).
Immovable property — land, house or flat — can now be transferred to one's children or blood relatives without paying stamp duty for registration.
This will come as a major relief as families won't have to pay a 5% of the ready reckoner rate of the property as stamp duty.