Property as gift

Section 122 of the Transfer of Property Act defines 'gift' as the transfer of certain existing moveable and immoveable property made voluntarily, without any consideration, by a donor to a done. There, however, are certain essentials of a gift – the gift, for example, must be tangible, and its ownership should be transferred by the donor and accepted by the done.

As per the Transfer of Property Act, the transfer of a house property under a gift, has to be effected by a registered instrument/document, signed by or on behalf of the person gifting the property and should also be attested by at least two witnesses.

This means, one cannot just decide to gift a property and do so without completing the legal procedure. Just like in the case of sale deeds, a gift deed must also be registered in the sub-registrar’s office, following the due procedure.

The registrar shall ensure that proper stamp duty has been affixed on the gift deed/document when it is presented for registration. The amount of stamp duty and registration charges payable, with respect to a gift deed, are generally the same as in the case of a regular sale. However, if the gift deed is executed between some specified close relatives, some states provide concessions in stamp duty. For example, Maharashtra has a cap on stamp duty payable on gift of a residential or agricultural property to one’s spouse, children, grandchildren or wife of a son who has died, at Rs 200, irrespective of the value of the property.

Hopefully this helped you.

If gift deed is made to daughter for transfer of 100% shares in CHS  Ltd, whether mother looses right to own house ? What happens if children drive her out of house ?

As it is your own property, you can do as you wish.  So you can gift it to your daughter or anyone.

Originally posted by : shobha gujar
	I want to gift my residential property (I am the sole owner) to my son. May I know the process

1. You may execute a Registered GIFT DEED, in favor of your Son.  This Gift Deed shall irrevocably and permanently transfer Title Ownership of property in name of Son.

2. You may prefer to use the services of an experienced Property Lawyer, for your requirements. 

Keep Smiling .... Hemant Agarwal
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