Can a man gift his owned Flat to his two nearest relatives through gift deed?
Advocate Bhartesh goyal (advocate) 15 January 2022
Yes, he can transfer ( gift ) his self acquired property to anyone as per his choice.
Dr J C Vashista (Advocate) 15 January 2022
I fully agree with the opinion and advise of senior expert Mr. Bhartesh Goyal.
The property can be gifted by its owner.
Archana Pandey 15 January 2022
Under section 122 of the Transfer of Property Act, 1882, you can transfer immovable property through a gift deed. Well, gift deed contains details of the property, the transferrer and recipient. A gift deed allows you to transfer ownership without any exchange of money. Registering a gift deed with the sub-registrar is mandatory as per section 17 of the Registration Act, 1908, and as per section 123 of the Transfer of Property Act. If you don’t do this, the transfer will be invalid.
Stamp duty and registration fee has to be paid to register a gift deed. In some states, stamp duty rates for property transfer by way of gift is the same as for sale or conveyance deed.
However, rules vary across states; certain state governments even offer some concession if the property is being gifted to blood relatives. For instance, in Delhi, the stamp duty in case of property transfer by way of sale or gift deed is the same—4% for men and 6% for women. In West Bengal, the stamp duty for sale or conveyance deed is 5% of the property’s market value in panchayat areas, and 6% of market value in municipal areas. In case of a gift deed, the rate is the same if the property is being gifted to a non-family member. If recipient is a family member, then only 0.5% of the market value of the property has to be paid as stamp duty.
Once a gift deed of an immovable property is executed in favour of any recipient, the donor does not have the right to revoke or cancel the deed at a later stage, unless there is a specific clause mentioned in the deed. Section 126 of the property transfer Act provides for a situation wherein a gift deed may be revoked by the donor.
Dr J C Vashista (Advocate) 16 January 2022
Very well analysed, opined, explained and advised by Ms. Archana Pandey, although a layman may not understand intricacies of law applicable on the subject, I fully agree and appreciate.