{"id":16538,"date":"2020-09-18T17:22:24","date_gmt":"2020-09-18T11:52:24","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=16538"},"modified":"2021-02-09T14:29:57","modified_gmt":"2021-02-09T08:59:57","slug":"procedure-for-gift-deed-registration-a-step-by-step-guide","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/","title":{"rendered":"Procedure for Gift deed registration: A Step By Step Guide"},"content":{"rendered":"\n<p class=\"has-drop-cap\">Transferring your assets to your friend or family member is now a lot easier than you think, particularly after the advent of the gift deed. The transferring of the property in India is executed by way of a gift deed. Individuals must register the gift deed even though the gifting process is free from monetary transactions<em>.<\/em> The registration will legalize the entire process. Oftentimes individuals try to relate the gift deed with a Will. However, a Will is executed after the demise of the property owner. Meanwhile, a gift deed is executed under the supervision of the owner. In this will unfold the Procedure for Gift deed registration by breaking it down to step by step guide. <\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"667\" height=\"340\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/09\/image-78.png\" alt=\"Procedure for Gift deed registration\" class=\"wp-image-16584\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/09\/image-78.png 667w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/09\/image-78-300x153.png 300w\" sizes=\"(max-width: 667px) 100vw, 667px\" \/><\/figure><\/div>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#What_do_you_mean_by_Gift_Deed\" >What do you mean by Gift Deed?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#Procedure_for_Gift_Deed_Registration\" >Procedure for Gift Deed Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#Charges_for_the_Gift_deed_registration\" >Charges for the Gift deed registration*<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#How_Gifting_Process_work_In_India\" >How Gifting Process work In India?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#What_can_be_gifted\" >What can be gifted?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#Advantages_of_Gift_Deed_over_a_Will\" >Advantages of Gift Deed over a Will<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#Disadvantages\" >Disadvantages<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/procedure-for-gift-deed-registration-a-step-by-step-guide\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_do_you_mean_by_Gift_Deed\"><\/span>What do you mean by Gift Deed? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A gift deed is a legal document availed after sanctioning the transfer of a property to the beneficiary. Section 122 of the <strong><em>Transfer of Property Act, 1882<\/em><\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Transfer_of_Property_Act_1882\"><strong><em>[1]<\/em><\/strong><\/a><\/sup>, renders the legal right to the individuals for transferring their property to the beneficiary of their liking via gift deed. Just like a sale deed, a gift deed encloses the details regarding the property, the donor, and the donee. The gift deed doesn&#8217;t deal with the financial transactions as it only transfers ownership to the beneficiary. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Illustration of the Provision <\/h3>\n\n\n\n<p>The Section 17 of the Registration\nAct of 1908 states that, individuals must validate gift deed through\nregistration with sub-registrar. Furthermore, section 123 of the Act indicates\nthat an unregistered gift deed shall be deemed invalid. <\/p>\n\n\n\n<p>Apart from that, the registered\ngift deed holder shall be liable to apply for the property&#8217;s mutation. The\nmutation process is an essential part of the property sector, which advocates\nthe transferability of the utility connections in favor of the beneficiary. The\nbeneficiary must tender to a registered gift deed to further transfer the\nproperty. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Procedure_for_Gift_Deed_Registration\"><\/span>Procedure for Gift Deed Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><em><strong>Following are instructions to register the gift deed:-<\/strong><\/em><\/p>\n\n\n\n<ul><li>A certified professional will evaluate the property related to the gift deed. <\/li><li>A gift deed will be signed by the donor and the donee in the presence of two witnesses. <\/li><li>Approach to the nearest sub-registrar to submit the signed documents. <\/li><li>Hire a lawyer for the calculation of the registration charges*, including stamp duty. You need to Pay the prescribed fees.<\/li><li>Attest the deed <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Charges_for_the_Gift_deed_registration\"><\/span>Charges for the Gift deed registration*<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>For gift deed registration, you will have to pay the stamp duty and registration fee.<\/li><li>In India, the state government determined the cost of <a href=\"https:\/\/corpbiz.io\/gift-deed-registration\"><strong>gift deed registration<\/strong><\/a> like that of a sale deed. Prior to calculating the registration fee, a value determines the worth of the gifted property based on the market value. <\/li><\/ul>\n\n\n\n<p><strong><em>The following table illustrates the cost of gift deed registration in major cities in India.<\/em><\/strong><\/p>\n\n\n\n<table class=\"table table-bordered\"><tbody><tr><td>\n  <strong><em>New Delhi <\/em><\/strong>\n  <\/td><td>  1% of the property\u2019s   market value + Rs 100 for pasting   <\/td><\/tr><tr><td>\n  <strong><em>Banglore <\/em><\/strong>\n  <\/td><td> 1% of the property\u2019s market   value + Rs 500 + Rs 1500 for filing and postage fees.    <\/td><\/tr><tr><td>\n  <strong><em>Mumbai<\/em><\/strong>\n  <\/td><td>Rs 200 for donee having family and Rs 30,000 or 1% of the property\u2019s market value for non-family member donee.   <\/td><\/tr><tr><td>\n  <strong><em>Chennai <\/em><\/strong>\n  <\/td><td> 1% of the property\u2019s market   value   <\/td><\/tr><\/tbody><\/table>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_Gifting_Process_work_In_India\"><\/span> How Gifting Process work In India?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><em><strong>In India, the gifting process is categorized into three parts. We will address these parts individually to make things easier for you. <\/strong><\/em><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Drafting a gift deed<\/h3>\n\n\n\n<p>Drafting a gift deed is the\nfirst step toward to the gifting process. A lawyer&#8217;s involvement is quite vital\nhere as he\/she will be responsible for drafting the gift deed. The draft\ntypically encloses the particular regarding the donee and the asset that is\nproposed to be transferred. It should be noted that financial transactions\nshould not be carried out via gift deed. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Acceptance of the Property<\/h3>\n\n\n\n<p>As per the applicable law, the\ndonee is required to accept asset\/property from the donor during his\/her\nlifetime. In case if donee won&#8217;t take the property from the donor, then the\ngift deed will become ineffective and turn out invalid. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Registration<\/h3>\n\n\n\n<p>As per section 123 of the\ntransfer of property act, an unregistered gift deed cannot be deemed as a valid\ndocument in any case whatsoever. It&#8217;s a compulsion to include two witnesses to\nattest to the gifting process.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_can_be_gifted\"><\/span>What can be gifted? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>A gift must exhibit the following properties: <\/em><\/strong><\/p>\n\n\n\n<ul><li>The gift deed must\nindicate the existing movable and immovable property. <\/li><li>Gift deed must be\ntangible and transferable in nature.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Advantages_of_Gift_Deed_over_a_Will\"><\/span>Advantages of Gift Deed over a Will <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><em><strong>The following section depicts the advantages of a gift deed over a will. Those are as follows:- <\/strong><\/em><\/p>\n\n\n\n<ul><li>A gift deed is executed once the beneficiary and the donor agree to transfer; meanwhile, a Will is implemented after the property owner&#8217;s demise. <\/li><li>A will allow the owner to take legal action in the matter of dispute, whereas a registered gift deed is free from litigation. <\/li><li>The property transfer under gift deed doesn&#8217;t attract any tax liabilities. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Disadvantages\"><\/span>Disadvantages <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><em><strong>The given list illustrates the cons of a gift deed over a Will. Those are as follows:-<\/strong><\/em><\/p>\n\n\n\n<ul><li>After execution, a\ngift deed cannot be canceled, but a will is alterable in nature, and it can be\nmodified as many times as possible as long as the owner is alive. <\/li><li>Gift deed attracts\nadditional costs in terms of stamp duty. The duty differs from state to state. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p> Keep in mind that gift deed is not for the minors. As per the bylaws, the minors cannot enter into the contract; henceforth, they cannot transfer a property to another person. However, the same law has a different proposition for donee in this context. If a donee is a minor, then his\/her guardian on his behalf can accept the gift. The guardian will continue to follow the Procedure for Gift deed registration and adhering sole responsibilities being the owner of the property until the donee becomes an adult.  <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/india-relinquishment-deed-key-elements-and-registration-process\/\">Relinquishment Deed: Key Elements and Registration Process<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Transferring your assets to your friend or family member is now a lot easier than you think, particularly after the advent of the gift deed. The transferring of the property in India is executed by way of a gift deed. Individuals must register the gift deed even though the gifting process is free from monetary [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":16583,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[1011],"tags":[1010],"acf":{"service_id":"284"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":45674,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16538"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=16538"}],"version-history":[{"count":9,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16538\/revisions"}],"predecessor-version":[{"id":25774,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16538\/revisions\/25774"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/16583"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=16538"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=16538"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=16538"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}