Is it necessary to register gift deed?

A Gift Deed is valid only if it is given out of love and affection, without any consideration in return by one family member/ friend to another. Also, under Section 17 of the Registration Act, 1908, it is mandatory to have a registered Gift Deed when you want to transfer immovable property.

How is a gift deed registered?

A gift deed will be signed by the donor and the donee in the presence of two witnesses. Approach to the nearest sub-registrar to submit the signed documents. Hire a lawyer for the calculation of the registration charges*, including stamp duty. You need to Pay the prescribed fees.

Does gift deed require stamp duty?

Gift Deed to Non-Family Member The stamp duty and registration fee on gift deed of immovable property is a stamp duty of 5% on the market value of the property + surcharge + cess and 1% registration fee.

Is unregistered gift deed valid?

1. An unregistered gift deed is not valid from the point of law . The Registration Act 1908 is not applicable if gift deed is not registered and there is no value in the eyes of law .

What is gift deed of immovable property?

The gift deed is an instrument through which the immovable or movable property owner transfers his/her property to another person without consideration as a gift. The donor must voluntarily gift the property to the donee without considering the gift to be valid under the Act.

What are documents required for gift deed?

Gift deed format

• Date on which gift deed is being executed.
• Name, Age, Address Details of the Donor.
• Name, Age and Address Details of the Donee.
• Relationship between the Donor and Donee.
• Declarations made regarding encumbrances of the property by the Donor.
• Statement of acceptance of the gift by the Donee.

What happens if gift deed is not registered?

Under Section 122 of the Transfer of Property Act, a gift of an immovable property is to be made by a deed and further this deed has to be registered. In this case, since the deed has not been registered, you will not be able to use the deed as evidence in the court of law to claim a valid title to the property.

Can a registrar cancel a gift deed?

Hi, Yes gift deed can be cancelled if both the parties go along to the registration and get it cancelled . In case to whom you have given the gift deed does not come with you to registration office then you have to file a suit in the civil court for cancellation of the gift deed.

Can gift deed Cancelled?

A gift deed cannot be cancelled unless the donee has obtained the same through either by fraud, coercion, misrepresentation or undue influence from the donor. Court Fees will be as per the value of the property.

Who can challenge a registered gift deed?

The gift deed can certainly be questioned in the court of law by filling a suit for such declaration. However, it will be challenged only if you are able to establish that the execution of the deed was not as per the wish of the donor or was executed under misrepresentation, fraud etc.