I have my grand father's side property agriculture lands in Gujarat. He passed away intestate over 50 years ago. After a few years, even his wife my grand mother passed away without leaving any will.
There are many relatives claimants on that property. Recently, the other family members have decided to give share/relinquish in the form of cash so that they can give their right in that property. My father was a lineal descendant so the shares have passed to his children. One interesting point over here is that although the grand mother passed away, her name still appears in 7/12 and other papers along with other claimant names.
On my father's side, we have put our names on that said property. On our side, the claimant's to that property are my mother, one brother, three sisters out of which one sister passed away but have 2 sons. They still have not sold the said property but the buyer who is also that village's sarpanch is ready to give each claimant the share in property in the form of cash. The amount would be approximately 16 lakhs or so in cash. He has insisted on signing an affidavit in front of the registrar. The actual market value of the share is even greater if it is sold but since the property is disputed for almost half a century or so, I am willing to take what is offered.
The last claimant is his friend and it is understood that particular relative would have his name on the property and then he is going to sell it to the sarpanch. That is their mutual understanding. I am worried that if I give away my rights in the property and if they still do not give the money and then I would be struck in the deal. I really cannot trust them because they have a history of mistrust. However, the sarpanch has himself shown the interest and asked me to visit them in their village for a settlement.
I am still not clear whether that would be a family settlement deed, relinquishment deed, gift deed, etc and how they would give us the share. So, my questions are: Should I take cash or DD? What would be the best decision to make? Is it okay from the ITR point of view to take that much money share in cash? Would it create any issue because they are insisting only on cash. Even if the share is given in the form of DD, would it liable for capital gain? If we, the claimants do not agree for the family settlement, can they forfeit our right in that property anyways?
I have heard the rumors from other relatives that they are well versed with the property laws and can bend them for their benefit. Would my late sister's children also rightfully get the share in that property? My sister's name is present on the paper but not her children. My surname on the property paper is different than my actual surname and especially after marriage. It was the old surname by which our family was known in that village but none of us have ever uses that surname. Would it be an issue? I would also want to make a farmer's certificate in my name before any settlement. PLEASE HELP. THANK YOU.
