1. Stamp duty cannot be avoided for transfer of property from individual to a company.
2. It doesn't matter that same individual is director of that company or not.
Transfer of individuals asset to a company by one of the Directors of the company
Kindly let me know the procedure to Transfer ownership of an Individuals Asset to a pvt.ltd. company where the same Individual is also one of the Directors of that Pvt.Ltd.Company without paying stamp duty to the government ?
Asked 4 years ago in Property Law
Religion: Hindu
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32 Answers
Okay, now stamp duty has been paid and the property is transfered in the name of the company now. Further, Suppose , Daughter of the director (from whom the property has been purchased by the company ) claims her share from the company in that property or a share in the company according to Hindu succession Act ( Inheritance of ancestral/parental Property) because her father is still a director in the company. Is this case possible ? Or it is not possible since the property has now been sold to the company irrespective of the fact that her father is a Director in that company or not.
Asked 4 years ago
The director can sell his assets to his company, however it may involve a registered sale deed with the payment of appropriate stamp duty and the registration charges to divest the title to the company.
The daughter can claim partition and separate possession of her share out of the ancestral property inherited by her father, even if the same has been sold by her father.
Then the company can be impleaded as a necessary party to the partition suit.
See to transfer the property deed has to be made and for same the stamp duty need to be paid and deed need to be registered before the sub-registrar office.
No she cannot claim any share from company from property though on demise of the person the share in company shall be inherited by her if there is no will.
The company shall be owner of the property father individually or legal heirs have no right in same.
Yes it can be readily done if majority of director are agreeing to the same.
Since a company is an artificial person, it cannot claim to get or give love and affection.
2) individual can sell property to company
3) stamp duty and registration charges have to be paid
Daughter has to file suit to set aside sale deed as it is ancestral property and she has equal share in property
1. Once the any Asset has been duly Transferred to the Co. (via registered Sale Deed), the Seller or his Family derive no rights whatsoever on such property.
2. However, IF the Property was "ancestral" and sold without written consent of "ALL" legal heirs (who maybe entitled the property in any manner), THEN the Sale Deed becomes Null & Void and can be rescinded /set-aside (by a civil court), since Ancestral property CANNOT be Sold /Gifted /Willed without a registered partition deed.
3. To the exception of above point 2, the Legal Heirs have inherent right to stake claim on the sale proceeds of property BUT ONLY from their Father and not the Co.
director can sell property to company.
stamp duty and registration charges have to be paid.
a daughter has a share in the ancestral property,she can claim equal share, she can file suit to set aside sale deed.
The property should be sold by the person to the company. Necessary stamp duty must be paid.
If the property belongs to her father she cannot have a share if he doesn't want to give her a share. She only has a share if she was staking claim to an ancestral property.
She can challenge the sale if the property was ancestral and was sold without her consent.
In Property of company , there is no inheritance right. Directors has no claim in company property but share holders have on its dissolution.
Winding up.
Request you to kindly classify these below mentioned properties as Ancestral or Self Acquired (by my Father). 1. Residence: Purchased by my Late Grand Father, willed in favour of my Father and his two brothers. All three brothers have equal shares physically and in revenue records. 2. Commercial Property No.1: Registry of 3 Plots in the name of My Father and One Plot in the name of my mother. Now there is a building made on it and assets have been transferred to a Partnership Firm, My mother and father being the only partners. 3. Commercial Property No.2: Land Purchased by my Grandfather and building made by my Father after his death and mutation has been done by the Development Authority and now the complete property is in my father’s name in revenue records and in Registry. 4. Commercial Property No.3: Willed in favour of my Father and his two brothers by my Grand Father. Property equally partitioned among brothers. 5. Residential Plot: Willed in favour of my Father and his two brothers by my Grand Father & Grandmother. Divided equally among the three brothers.
Asked 4 years ago
From the details you have furnished, it can be seen that none of the properties mentioned in your query is ancestral in nature.
Legally speaking, an ancestral property is the one which is inherited up to four generations of male lineage. The right to a share in an ancestral property accrues by birth itself, unlike other forms of inheritance, where legacy opens upon the death of the owner. The share of father and son in ancestral property.
Properties inherited from a mother, grandmother, uncle, and brother is not an ancestral property.
Property inherited through Gift and Will are not ancestral properties
Property gifted by a father to his son cannot become ancestral property at the hands of the son simply because he received it from his father.
1) property inherited by your father and siblings as per grandfather will is not ancestral property
2) commercial property is not ancestral property
3) commercial property 2 is not ancestral
4) none of property are ancestral
1. It is inherited though as good as self acquired property for your father and his brothers.
2 self acquired.
3. See it is inherited property though father is absolute owner it is not ancestral.
4. Self acquired.
5 self acquired.
Self acquired property by testamentary succession.
Partners contributed properties to firm, now on dissolution of firm, property will resume to actual owner or by transfer by firm.
Commercial Property No.2: - If no WILL than two brothers of father also have equal share.
Commercial Property No.3 / Residential Plot - Self acquired property.
1st is ancestral rest all are self acquired
Okay, from my above questions i have drawn these conclusions which are written below: 1). Now the company has paid stamp duty and asset has been acquired by the company from one of its director. 2). Nature of the asset purchased by company: Self Acquired/ Inherited by the Director (Previous owner now). Daughter of the Director (previous owner) cannot claim on the property as it was not an ancestral property before. Now, my question is: 1)Upon the Demise of the Director (previous owner from whom the asset was purchased by the company), what will happen to his share in the company according to companies act 2013? 2)Will the asset/property that was purchased by the company remain with the company or legal heirs can claim on it? Legal Heirs of the Director who has died: Son, Wife and married Daughter 3)In what ratio will the assets/ shares be divided among the Legal Heirs ?
Asked 4 years ago
1. The share of the director, if any, in the company shall devolve on his successors in interest as per the articles of association of the company.
2. The assets purchased on the name of the company shall be classified as the assets of the company and not the property of the directors or the successors of the deceased director.
.3. If at all the legal heirs are entitled to any share in share of the deceased director, it will be on the equal note.
It will be with company. Legal heirs can't claim
1. The legal heirs of the director can claim the share of deceased director.
2. The assets shall remain with company though legal heirs will have right on shares of director in company.
3. If there is no will by deceased then in that case all legal heirs shall have equal share.
1) on demise of director his shares in company would devolve on his wife and children equally
2) assets purchased by company would remain with company
1. Co. is classified as a "Legal entity /juristic person" and CANNOT have "legal heir" or legal heir'ship claims or rights in Co. owned property, wherein property belongs to Company and not to individual Directors /whoever....
2. IF Director has expired, THEN the legal heirs can claim to be brought on record in place of expired director (provided he held shares of co.).
3. Co. owned properties can be distributed, ONLY on dissolution of co., and by following due procedures of law.
No inheritance right left in that property once sold.
Company is sole owner.
1/3rd share each in those properties which are not sold.
What will be the procedure to include name/add partner in a partnership Firm ? Will it attract stamp Duty upon addition of new partner if there are immovable properties in the name of the firm ? Considering all partners (new & old) are family members.
Asked 4 years ago
a new person can be introduced as a partner into a firm with the consent of all the existing partners subject to the execution of a fresh Partnership Deed.
A supplementary partnership deed is required.
No adding a partner doesn't involve much stamp duty 100 rs. Stamp or as per state is required just for the deed.
When change occurs in the constitution of the firm, any of the new, continuing or the outgoing partner, while when a registered firm is dissolved, any person who was a partner immediately before the dissolution or the agent of any such partner or person specially authorized on his behalf, may give notice of such a change to the Registrar, specifying the date thereof.
The stamp duty shall be applicable for the registered firm
Procedure for Changes in the Constitution of the Firm:
- Draft a new Partnership Deed as per the changes in the constitution of the Firm
- Fill Form in Capital Letters in Form
- Pay the Challan Fees with the respective Bank
- Submit the application with the concerned Registrar of Firms of the State along with following Documents:
(i) Xerox copy of Old Partnership Deed (Drafted at time of Constitution of Firm), duly attested by the Notary of concerned town where the Registered Office of the Firm is situated.
(ii) Xerox copy of New Partnership Deed (Drafted at time of Changes in the Constitution of Firm), on a Stamp Paper of Rs. 1000 (Stamp Paper of Rs. 1000 applicable In Punjab as per the State Stamp Act) duly attested by the Notary of concerned town where the Registered Office of the Firm is situated.
You can add partner if u want to. Yes it will attract stamp duty and registration
new person can be introduced as a partner into a firm with the consent of all the existing partners subject to the execution of a fresh Partnership Deed. At the time of execution of fresh partnership deed presence of all the existing partners along with the new partner and witnesses is essential.
2) it would attract stamp duty
New person can be introduced as a partner into a firm with the consent of all the existing partners subject to the execution of a fresh Partnership Deed.