Relinquishment deed operates in favour of all the owners
You cannot relinquish your share in favour of one of co owners
you can execute gift deed in favour of one of co owners
Three of us have equal share in a 4 story building , in which we have already sold , one floor to a builder.. The builder has 22 % of land on which this building stands. So the rest thre of us have equal share of 26% each of the land. Can one of us relinquish one third share in basement to one of the others , without any change in land ownership...i.e. we each continue to own 26% of land after the transaction
How is stamp duty on basement calculated
Relinquishment deed operates in favour of all the owners
You cannot relinquish your share in favour of one of co owners
you can execute gift deed in favour of one of co owners
Stamp duty is state subject and varies from state to
it would depend upon market value of your share in basement
You can execute a gift deed if you want to transfer your share in favour of one particular person.
Such gift can be made without any change of shares in the land.
Stamp duty will be calculated according to the estimated market value of the property you want to gift in accordance with the Stamp Act of the State in which the property is situated.
No you will have to execute a Gift Deed for transferring your share to one of the Co-owners,
The stamp duty varies from state to state, depending upon the market value of the basement.
Hello,
1. All the floors and part thereof is owned along with proportionate share of the land on which the building has been constructed, as per law.
2. So, if one of the owner relinquished 1/3rd share of the basement to other, he transfers proportionate share of the land also which goes with the said 1/3rd share of the basement.
3. No floor of part thereof can be sold without transferring its proportionate share of the land on which it has been constructed.
1.The stamp duty will be calculated based on the value of the property sold/transferred including the basement.
2. The value will be ascertained by the local Registrar's office.
First of all understand the meaning of relinquishment.
If one of you would like to relinquish their rights, it would be like relinquishing the entire rights in the property that too in favor of the shareholders and not to a single shareholder.
There is no question of retaining the ownership but relinquishing their share in the UDS.
However you may enquire from a local advocate based on the papers of the property in your possession and get a proper opinion/suggestion about what can be done on your proposed idea on this.
The stamp duty on a basement alone is not calculated, the stamp duty for selling the property along with the basement are shall be calculated.
The applicable rates can be enquired form the local registration office
Dear Sir,
The same is not possible legally and technically because and the share will be change from 26%.
From examining all the facts of your query I want to say that-
You can do all this transaction using relinquishment deed. These cases are very common in various Courts of India and Supreme Court of India. As with all documents related to the transfer of immovable property, a release deed needs to be signed by both parties, stamped and registered. Stamp duty will be applicable only on the portion of the property that is relinquished.
You cannot relinquish the property in favour of a non-co-owner. If you plan to transfer your property to someone else, it would be treated as a gift deed and would attract stamp duty charges. As per The Registration Act of 1908, relinquishment comes under Section 17 which means it has to be compulsorily registered at a sub-registrar's office.
The document may be presented for registration either in the office of the Sub-Registrar in whose sub-district the document was executed or in the office of any other Sub-Registrar under the State Government at which all the persons executing and claiming under the document desire the same to be registered. I have dealt with such cases in Supreme Court.
Also note that unregistered relinquishment deed is not permissible as legal proof of relinquishment.
Since relinquishment is a transfer and not a gift, there are no tax benefits. Supreme Court recently held that the essential ingredients of release are that there should already be a legal right in the property vested in the releasee and the release should operate to enlarge that right into an absolute title for the entire property as far as the parties are concerned. Detailed discussion is required in such cases with complete facts.
You may contact my secretary to connect with me for clarification.
I hope you and your family are safe and healthy. Stay home and be safe during Covid-19.
Gopal Verma,
Advocate on Record & Amicus Curiae,
Supreme Court of India
Relinquishment / Release has to be done in favor of all the co-owners. Better option is to Gift your share to co-owner to whom you want to give duly registering by paying stamp duty. It will be cost effective also.
Reply to your second post:
Stamp duty is state subject, it differs from state to state.
The same is charged on market value of the property which will be given by the concerned Registrar.
1. Relinquishment of share will result in transfer of title from the relinquisher to relinquishee. Hence, it will unquestionably result in change of land ownership.
2. The relinquisher will cease to have any right, title or interest in the property after he executes relinquishment deed.
How can some one relinquish his or her share and still claim same share Before execution of relinquishment deed.
The person givin up his share should go for exchange deed with beneficiary of share from basement to get equal share in return.