1. You cannot draw up a gift deed of a property that is held jointly or whose co-owner you are.
2. Alternate is to draw up a 'relinquishing deed' for a co-owned or jointly held property. This document is quite different from a gift deed, though the legal implications are the same. You can use this instrument if you want to transfer your rights in a particular property to another co-owner / relative. Such a transfer is also irrevocable even if it is without any exchange of money. A relinquishment deed needs to be signed by both parties and Registered.
3. The stamp duty is similar to that for a gift deed. However there is no discount for relatives nor are there any income tax benefits. Also, both stamp duty and tax will be applicable only on the portion of the property that you relinquish, not on its total value.
4. There are no tax benefits as per the Income Tax laws. When you are relinquishing property for monetary consideration, it will result in capital gains for the transferor. If the consideration is less than the stamp duty value of the property, the difference between the stamp duty and the consideration will be taxed in the hands of the buyer.
5. However, if you relinquish it without any consideration, the stamp duty value of the property will be its sales price.
Note:
At this stage since two replies are given to your base query it is suggested to invest on Chamber consultation on issues with a local Advocate who is practicing property – income tax Laws whom one founds via local reference.
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