Gpa
Querist :
Anonymous
(Querist) 20 January 2012
This query is : Resolved
If A B C D are four brothers have a property.(valuer of property- 30,00,000)
Now, They(A C & D) wants to transfer this property to B.
They want saving stamp duty expenses.
For this purpose of stamp duty saving they wants to make a GPA( General Power Attorney) in favour of B.
And give all rights to B related to Property.
1. Is GPA a safe instrument for property rights?
2. Later, Can B transfer/sale this property to other people without permission of A C & D.
3. Is GPA legal document for this purpose?
ajay sethi
(Expert) 20 January 2012
1)yes safe .power of attorney must give power to B to sell property on behalf of A , C , D
2)yes B can transfer it to others
3) yes it is legal provided power of attorney is registered .
sanjeev murthy desai
(Expert) 20 January 2012
1. No GPA is not transferable document. It is a authorization letter to do or not to do something. In your case ACD can execute gpa in favour B to sell their respective shares in the property to others.
2. Yes he can transfer in favour of third person without permission from AC & D.
3. Yes it is valid instrument.
Deepak Nair
(Expert) 20 January 2012
What I understand from your query is that A, B, C and D have equal share in a property and A, C and D wants to tranfer their shares to B.
In this case, A, C and D can execute Release Deeds / Deeds of relinquishment of their share in the property in favour of B.
A, C and D shall register the siad release/relinquishment deed. The relinquishment deed / release deed does not require to pay heavy stamp duty. You have to pay only the registration fee which is nominal.
GPA is not an instrument to transfer the property in anothers name. GPA grants the power to manage the property only.
M/s. Y-not legal services
(Expert) 20 January 2012
already you got clear answers.. GPA not an instrument for ownership..
"They want saving stamp duty expenses"
as a good citizen its not fair.. all of we started to think like that mean?
-tom-
Querist :
Anonymous
(Querist) 20 January 2012
Mr Deepak Nair ji, please give more information about you say..(release/relinquishment deed)
In which there is no requirement of stamp duty.
M/s. Y-not legal services
(Expert) 20 January 2012
dear author.,
this kind of question you can ask from your advocate who is appointed by you with his fees..
but here we not to help any one who want to cheat govt.. by escaping from taxes.
i hope my friend deepak will consider my thought..
-tom-
Deepak Nair
(Expert) 20 January 2012
Dear Tom,
I understand and respect your thought.
But, deed of release is not at all the way to evade the stamp duty. Insted, the government itself has created the law for release deed so as to transfer of property within family or within joint owners. This is fully legal and legitimate and there is no chating of government.
Deepak Nair
(Expert) 20 January 2012
Release is used in cases where there is no requirement of a conveyance or a transfer of property, but the transaction involves relinquishment of a right or a claim. It is more in the nature of an admission of an existing right and a surrender or abandoning of real or potential claim or right.
The person who executes or makes the Release Deed is known as “Releasor” and the person in whose favour it is executed is known as “Releasee”. These terminologies can be changed and other substitutes are also available.
Deepak Nair
(Expert) 20 January 2012
It is not that you don't have to pay stamp duty. The stamp duty on release deed is very less compared to that of other instruments such as sale deed, gift deed etc.
The stamp duty is very nominal, since in the release deed, the stamp duty is to be paid on the instrument and not the transaction.
I suggest you to consult a lawyer who deals with property to get a release deed drafted and registered.
Sankaranarayanan
(Expert) 20 January 2012
We said by mr nair. You can foloow his advise
Sailesh Kumar Shah
(Expert) 21 January 2012
Agree with replies of query and subsequent queries by author. No need to further additions.
Deepak Nair
(Expert) 21 January 2012
Dear Experts,
Thanks for endorsing my views.
