• Gift deed Stamp duty & registration charges

Dear Sir/Madam,

Property is in the name of mother, brother and father; however, all 3-family member have decided to gift the property to daughter.

Please let us know on below query:

1)	Do gift deed is valid for the above transaction (transferring/gifting the ownership of property to Daughter from the existing owner (mother, brother and father)
2)	if yes, will Stamp duty & registration charges will be applicable for this gift deed?, the property is located in the Borivali Mumbai, -Maharashtra 
3)	What will be the charges of Stamp duty & registration applicable for this gift deed?
4)	If no what is process of transferring/gifting the ownership to Daughter from the existing owner (mother, brother and father)
5)	Since the property is jointly in the name of brother as well. Does his wife have the rights to claim on this property?
6)	Once the gift deed is executed in the favors of Daughter, Can brother wife claim on the property in the future…etc
Asked 4 years ago in Property Law
Religion: Hindu

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6 Answers

Gift deed would be valid 

 

2) stamp duty and registration charges are applicable 

 

3) it would be around 3 per cent of market value of property 

 

4) brother wife has no share in property 

 

5) she cannot make claim share in property 

Ajay Sethi
Advocate, Mumbai
99776 Answers
8145 Consultations

1. Yes, they can execute a registered gift deed in favor of daughter for transferring the property in her name. 

2. Yes, as per the rule of Mumbai . However as all are blood related then a nominal stamp duty require to pay 

3. Stamp duty is different from state to state 

4. Gift deed a better option , 

5. During the life time of brother , his wife having no right to interfere and ask for share in the property legally. 

6. No. if she is not jointly owned the property

Mohammed Shahzad
Advocate, Delhi
15814 Answers
242 Consultations

1. If it's an irrevocable Gift Deed, which is adequately stamped and registered in the jurisdictional Sub Registrar's Office and if the gift is accepted by the Donee (Daughter), then even if the Donors (Mother, brother and father) decide to revoke the Gift Deed it can't be done unilaterally.  However if the Donors and the Donee decide to cancel/revoke the registered Gift Deed, then only it can be revoked.

2.  Stamp duty and Registration charges will be applicable as prevalent in the State of Maharashtra. In Karnataka, the Stamp Duty for Gift Deed is fixed at Rs. 5000/- amongst blood relatives, irrespective of the value of the property.

3.  Please refer to answer under sl.no. 2.

4.  The process is simple, preparing the Gift Deed document and the enclosures are Khatha (Patta) certificate, latest Tax Paid Receipt, Photo IDs of the Donors and the Donee. Also procuring DDs for Stamp Duty and Registration Charges and submitting the documents to the jurisdictional Sub Registrar, who in turn would register the document.

5.  Since one of the share holders in the joint property is the brother and his wife will not have any right over the husband's property during the lifetime of the husband and she can't legally claim any right.

6.  In future also, the brother's wife can't claim any share in the Gifted Property, as the property is treated as self acquired property in the hands of her husband.

Shashidhar S. Sastry
Advocate, Bangalore
5623 Answers
339 Consultations

1. There is no legal infirmity by transferring the property by a registered gift deed in favor of the daughter by her father mother and her brother, you can proceed to jointly execute a  registered gift deed in her favor.

2. The necessary stamp duty and the registrations charges have to be paid as per the rates stipulated to this purpose.

3. According to Article 34 of the Maharashtra Stamp Act, which was amended in 2017, stamp duty on gift deeds is 3% of the property's value. But, if the property is residential or agricultural, and is gifted without any payment to a blood relative, then the stamp duty is Rs 200.

4. Registration of gift deed after paying the requisite stamp duty is mandatory as per law.

5. No, not necessary.

6. No.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

1. Yes

2. Yes 

3. Stamp duty for good relationship is negligible in Maharashtra but registrar may be 30000/-

4. Sale will Or gift deed. 

5. No but it's good to take her NoC too. 

6.No 

 

Prashant Nayak
Advocate, Mumbai
34514 Answers
249 Consultations

Dear Client,

1. Yes you can make a gift deed if all co- owner is agreed.

2. When it is gifted to any other person, the stamp duty rate is 6% in municipal areas, corporation areas and urban areas. If the market value of the property is more than Rs. 40 lakhs, then an additional 1% stamp duty is charged.

3. charge of 6% is applicable and additional 1% is charged if its value is more that Rs. 40 lac.

5. If brother is co-owner in the property and his wife is living at other house then she cannot claim it.

6. No but it depend on to what extent she is getting affected by that gift deed in her daily life. If the gift deed did not harm her then she did not claim it.

Thank You.

Anik Miu
Advocate, Bangalore
11014 Answers
125 Consultations

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