Internal transfer without any gift deed or registration
BHUSHAN SHAH
(Querist) 23 March 2019
This query is : Resolved
HI, My client purchased this flat in mumbai on April in the year 1977, in 1989 due to some reason he transferred the said flat in the name of his wife (gift deed is not made and no monetary transaction is done).
Only one application to transfer was given to society . Society have changed the share certificate in the name of his wife and nominated his son for the said flat. Now the question is - we have came to know that the internal transfer also attracts stamp duty. Is this so then at what rate, secondly is society right in transferring the flat in my clients wife name.. Do he needs to pay stamp duty & registration for the purchase in 1977 as it was not the rule in 1977, and if yes than at what rate with penalty on the purchase in 1977. Also recently we come to know that transfer of flat to relative does not need stamp duty or registration only executing transfer deed on Rs. 500/- stamp paper without paying stamp duty and registration fee would be enough. if this is so then Can my client do it in current date . Please guide us through Regards.
Guest
(Expert) 23 March 2019
Legally only the Registered Documents would be valid. Any Transfers whether Gift or Settlement or sale it should reflect in the Encumbrance Certificate to ensure it legally.
Dr J C Vashista
(Expert) 23 March 2019
The Society can transfer share on the basis of a registered deed e.g. sale, gift, relinquishment etc.
However, the Society has no power to transfer title of a flat.
Consult a local prudent lawyer for stamp duty and laws applicable in the instant case.
Guest
(Expert) 23 March 2019
A Document is required to be Registered and Stamped But If It Is Not, the arbitration agreement springing out of it can not be enforced.
Guest
(Expert) 23 March 2019
Refer Naina Thakkar VS Annapurna Builders Case.
P. Venu
(Expert) 23 March 2019
The title to the property still vest with your client. He can proceed on that basis in carrying out any further transaction.
kavksatyanarayana
(Expert) 23 March 2019
How the society transfer the flat to other's name (though she is wife to owner) without a registration deed? So it is not valid. The society shall transfer the flat only on the basis of registered document only. so your client is the owner of that flat. For registration Gift deed in favour of a family member, the stamp duty leviable is less in many States. check in your state and the stamp duty varies from one State to another State.
Hemant Agarwal
(Expert) 24 March 2019
1. Transfer of "immovable property" can be done "O N L Y" thru a Stamp Duty paid & Registered document (eg. Sale Deed, Gift Deed, Release Deed, FSD and so on .... ) or thru legal proceedings (Probate, LA, Decree, Auction .... )
2. In the case instant "ALL" the transactions /proceedings /transfer are illegal, null & void, invalid for all legal purposes and now CANNOT be rectified in any manner, including the Society membership transfer to Wife and Wife's nomination to her children/s. All such transaction would never give "clear title-ownership to the wife /children" and is a fraud for income tax purposes.
3. Forget the anomalies of the 1977 document (anyways, if you wish to rectify.... you can take advantage of the currently available MH govt stamp duty amnesty scheme). BESIDES THIS, At current date execute a Stamp Duty (1%) paid Registered (200/-) GIFT DEED in favor of the Wife or Children and submit the same to the Society for their records and registers. Except 100/- as membership entrance fee and 500/- as membership transfer fees, no other fees are payable to the society, in any manner, whatsoever.
Keep Smiling .... Hemant Agarwal
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