• HIBA/Transfer of property to mother/wife

Hello Experts,
I have an house that is registered in my name (the registration was done in 2013 from my mother to me in registered sale deed at an sub register office).

Since I am staying at my house with my family i want to transfer the property to mother/wife and show that i am paying rent to my mother/wife.

My main purpose is to claim the HRA benefit .

Whats is the easy way of doing it , I want to avoid paying registration fee at sub register office .

Can i do an gift transfer/Hiba , I am a Sunni Muslim .

What is the process to do it , can this be done in current lockdown
Asked 4 years ago in Property Law
Religion: Muslim

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22 Answers

You can execute Hibanama in favour of your mother / wife 

Under Muslim Personal Law, immovable property can be transferred provided that there is an offer made by a donor, which is accepted by the recipient in presence of witnesses and the property be handed over to the recipient.

2) Muslim personal law guarantees transfer of property by means of Hiba and this has been upheld in various courts of law

3) if gift is not accepted no valid gift has taken place

4) Chapter XI of the Mulla?s Principles of Mahomedan Law, edited by Shri M. Hidayatullah, former Chief Justice and, Vice- President of India, deals with the gift. Sections 138 and 147 of the said Mahomedan Law are relevant "138. Hiba or gift. - A hiba or gift is "a transfer of property, made immediately, and without any exchange," by one person to another, and accepted by or on behalf of the latter" " 147. Writing not necessary.-Writing is not essential to the validity of a gift either of movable or immovable property

Ajay Sethi
Advocate, Mumbai
94692 Answers
7527 Consultations

5.0 on 5.0

you can gift the property to your mother/wife through the hiba procedure

it has 3 ingredients -

declaration of the gift by the donor [by you]

acceptance of the gift by the donee [by your mother/wife]

delivery of possession of property by donor to donee

 

all the above 3 steps have to be done in front of 2 witnesses

this will complete the hiba

subsequently you can execute a memorandum of confirmation to record the hiba transaction. The parties to this memorandum will be the donor, donee and the 2 witnesses. Registration is not needed. It can be made on 100 Rs stamp paper and then notorised

Yusuf Rampurawala
Advocate, Mumbai
7509 Answers
79 Consultations

5.0 on 5.0

Taxpayer is entitled to claim HRA exemption for rent paid to his or her spouse provided there is documentation to prove that.

In muslims, registration of gift is not mandatory but to claim HRA excemption, gift must register. Documentary proof is must or submit rent slip and same shall show in wife ITR.

Give and take, gift is complete in muslims.

Yogendra Singh Rajawat
Advocate, Jaipur
22630 Answers
31 Consultations

4.4 on 5.0

Dear Sir,

Yes, you can execute Gift deed and flat rate of Stamp Duty as per my knowledge is only Rs.5,000/- and some Sub Registrar’s are also accepting registrations during this lock down period.

==============================================================

Hiba is a transfer of property by act of the parties and not by operation of law. It means that any transfer of property done by the court of law or any transfer of ownership by the Muslim law of inheritance will not be considered as Hiba.

Concept of Gift Under Islamic Law

A Muslim can devolve his property in various ways. Muslim law permits the transfer of property inter vivos (gift) or through testamentary dispositions (will). A disposition inter vivos is unrestricted as to quantum and a Muslim is allowed to give away his entire property during his lifetime by gift, but only one-third of the total property can be bequeathed by will. Conventionally, a gift, being a transfer of property is governed by the Transfer of Property Act, 1882.

But Chapter VII of the Transfer of Property Act, 1882 regulating the gifts does not apply to the ‘Muslim Gifts’ or the ‘Hiba’. Although there is no such difference between a gift made by a non-muslim or a Muslim yet, the formalities of Hiba are different from that of a gift made by a non-muslim. Therefore, Hiba is governed by the Muslim Personal Law.

Kishan Dutt Kalaskar
Advocate, Bangalore
6136 Answers
487 Consultations

4.8 on 5.0

Dear Sir/Madam,

You are suggested to go for the transfer/Hiba on the name of anyone of your relative as per law. Then you may get the rent deed and apply for HRA as applicable. 

Ganesh Singh
Advocate, New Delhi
6757 Answers
16 Consultations

4.5 on 5.0

-  HIBA is an unconditional transfer of property, made immediately and without any exchange or consideration, by one person to another and accepted by or on behalf of the latter. 

- Further , As per Muslim Law , A HIBA of movable or immovable property is valid , whether it is oral or in writing, whether it is attested or registered or not, provided that the delivery of possession has taken place.

- Hence, legally you can transfer the said property by way of HIBA , in the name of your mother /wife, even without paying registration fee a the office of sub registrar. 

- Further , like a Gift deed , there should be two witnesses for verifying that the said document has been prepared in their presence. 

Mohammed Shahzad
Advocate, Delhi
13211 Answers
198 Consultations

5.0 on 5.0

1. Technically HIBA (Gift Deed) can be executed even orally, in presence of community elders.  This can be done in the lockdown period too, provided it does not violate the govt. directives of lockdown.

2. However for purpose of Income Tax, you would need supporting documents to prove that property was actually mutated /transferred in name of Mother /Wife in the Revenue /Municipal records.

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

1. You can do oral gift Hiba or register it in the Sub Registrar's Office in favour of your mother/wife.

2. It can be done in the current lockdown period also. However, the Sub Registrar's Office has to be working to get the gift deed registered. (At present the SR' s office is open, however Govt may decide to stop it's functioning if there is sudden increase in Carona cases).

 

Shashidhar S. Sastry
Advocate, Bangalore
5109 Answers
314 Consultations

5.0 on 5.0

It cannot be done in current lockdown, you can do it via a normal process of property transfers by submitting a fee and application in the office of land revenue 

 

Rahul Jatain
Advocate, Rohtak
5365 Answers
4 Consultations

4.8 on 5.0

Respected sir...

For that you have the best option to make a gift deed in the name of either your mother or wife...that is sufficient for you and it would be better to gift that to your mother ... . after that you can claim HRA benefits...

 

 

Thank you

Dinesh Sharawat
Advocate, Delhi
1263 Answers
12 Consultations

4.9 on 5.0

Hiba does not require if its made irally.

If you put into writing then registration is compulsory. 

So if you want to avoid registration fees oral hiba can be done on which basis the beneficiary can apply for Mutation of her name and take possession of the same. 

3. Since oral hiba is difficult to be established go for registered gift deed. 

Devajyoti Barman
Advocate, Kolkata
22815 Answers
488 Consultations

5.0 on 5.0

1. You may make a gift under Muslim law, a notarised hibabnama can be made and the possession of the property can be given and acceptance of gift can be shown in the document.

2. You can pay rent to your wife/mother, an agreement for the same can be also prepared and can show the same to claim HRA benefits. 

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

5.0 on 5.0

Hi,a gift deed can be made to avoid the stamp  charges ..Yes,it can be done as all the government offices are operational 

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

4.9 on 5.0

Hi 

1) Oral HIBA is permitted in Muslim Law, 

2) An oral gift may be accompanied by a document recording such transaction.

3) In addition, the document or instrument making the gift is not required to be registered.

4) However, since you wish to claim HRA for residing in the same property, there may be a challenge from income tax department that you have not complied with Section 129 of transfer of property act(payment of stamp duty and registration fees) and hence they may deny you the benefit. 

5) Oral gift and documentation can be done in this lock down in a manner prescribed by Islam in presence of two unrelated , reliable witnesses . 

6) However, should you wish to register the gift, you may do so within 90 days from the date of your oral gift at sub-registrar office 

Hope this information is useful..

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

5.0 on 5.0

Yes you can use your personal law and transfer the property through hiba as well as execute a will and do the same without any stamp duty to govt. 

Prashant Nayak
Advocate, Mumbai
31930 Answers
179 Consultations

4.1 on 5.0

A HIBANAMA must be made and registered with the registrar office. On the basis of that the property may be transferred. Some amount of stamp duty has to be paid. Engage a lawyer for this purpose.

Rahul Mishra
Advocate, Lucknow
14088 Answers
65 Consultations

5.0 on 5.0

The property transferred by executing  an unregistered deed or oral Hiba  is also valid since you belong to Muslim religion hence the Muslim personal law shall be applicable.

However since you are intending to claim HRA from office, it would always be better tht you transfer the property by a registered document in favor of your mother as the office may not accept the unregistered gift deed as proof because you have acquired the property by a registered sale deed in your name.

If the Registrar's office is not open due to current situation, you my have to wait for the release of lock down situation.

T Kalaiselvan
Advocate, Vellore
84893 Answers
2190 Consultations

5.0 on 5.0

if the words Hibanama are written on the document then it needs to have around 7% stamp duty and it should be duly registered like a normal Gift Deed. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

1. You are free to execute Hibanama in favour of mother/wife.

2. The conception of the term ‘gift’ as used in the Transfer of Property Act, 1882 is different from the practice under the Muslim Law. Under the Muslim Law, a gift is a transfer of property or right by one person to another in accordance with Muslim law. Hiba (Tamlik al ain), is an immediate and unconditional transfer of the ownership of some property or of some right, without any consideration or with some return (ewaz); and the term ‘hiba’ and ‘gift’ are often indiscriminately used but the term hiba is only one of the kinds of transactions which are covered by the general term ‘gift’.

3. The essentials of a hiba under Muslim Law are a) Declaration by the donor, b) Acceptance by the donee, c) Delivery of possession by the donor and taking of the possession by the done.

4. Hibanama is not required to be registered. Mere delivery of possession shall suffice.

5. You can claim HRA exemption for rent paid to wife if there is a rent agreement to prove it.

 

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

Dear sir,

"Gift" is the transfer of certain existing moveable or immoveable property made voluntarily and without consideration, by one person, called the donor, to another, called the donee, and accepted by or on behalf of the donee. Such acceptance must be made during the lifetime of the donor and while he is still capable of giving. If the donee dies before acceptance, the gift is void.

The conception of the term "gift" as used In the Transfer of Property Act is somewhat different from the use in Mohammedan law. In the Mohammedan law a gift is a transfer of property or right by one person to another in accordance with the provisions given in the Mohammedan law and includes-
a) A hiba, an immediate and unconditional transfer of the ownership of some property or of some right, without any consideration or with some return (ewaz); and

b) An ariat, the grant of some limited interest in respect of the use or usufruct of some property or right.
Where a gift of any property or right is made without consideration with the object of acquiring religious merit, it is called sadaqah.

Netravathi Kalaskar
Advocate, Bengaluru
4952 Answers
27 Consultations

4.8 on 5.0

Muslim personal law allows oral Hiba and the same is valid in eye of law. 

The basic requirements of the same are:

- Offer by Donor 

- Acceptance by Donee.

- Witnesses.

Thus, if you follow the above, you can gift the property to your mother / wife in presence of two witnesses who can testify the said gift.

 

S Srinivasa Prasad
Advocate, Hyderabad
2876 Answers
9 Consultations

5.0 on 5.0

1. Yes you can execute HIBA in favour of your mother or wife. 

2. You have to execute a Gift deed on a stamp paper of rs 100.

3. The gift must be accepted by donee that is reciever of the gift along with possession of property.

4. Every Document must be signed by doner and donee along with 2 witnesses. 

5. Yes process can be done during lockdown with the help of local advocate.

Mohit Kapoor
Advocate, Rohtak
10687 Answers
7 Consultations

5.0 on 5.0

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