Gift Deed
Under this deed, the person can gift movable and immovable property to loved ones. Under Section 123 of the Transfer of Property Act, 1882 one can gift the property without exchange of money. It is voluntary and made without consideration. It is general y registered under Section 17 of the Indian Registration Act, 1908 from the donor to the donee. There are three steps – it needs to be made voluntarily (usually out of love and affection), it must be accepted by the done and it should be registered. Though it is taxable under Section 56 (2) (vi) of the Income Tax Act, 1961.
All this sounds complicated? Not to worry, Legal conclave will make sure that your gift deed is registered and given to your loved ones. We will ensure that it is signed, registered and delivered back to you.
Frequently Asked Questions
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Q. What are the formalities for registering a gift deed? Open or Close
The donor on requisite stamp paper should sign the deed. It should be attested by at least two witnesses; the donee should accept the gift.
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Q. Does gift of movable property require registration?Open or Close
Gift of movable property, may or may not be registered. But delivery of the property and acceptance of it are essential.
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Q. If I give someone a Power of Attorney, does that mean I don't have control over my money any more?Open or Close
No. When you give someone a Power of Attorney, you still have the right to control your money and property. However, you are giving your agent the ability to access your money. Your agent is not supposed to take or use your money without your permission, but there is a risk that a dishonest or unscrupulous agent might steal your money. It is therefore very important to choose an agent you trust. You should go over the agent's duties before you sign your power of attorney.
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Q. What do you mean by release deed? Open or Close
A legal document that removes a previous claim or lien on an asset. A deed ofrelease is usually issued once a mortgage or other type of debt, previously secured against the asset, has been paid in full.
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Q. Who can execute a Will? Are there any other conditions? Open or Close
Any person above the age of 18 years and mentally sound may execute Will, but a Will caused by fraud or coercion or by importunately will not be valid and can be examined by a competent civil court. Therefore a Will must be executed voluntarily.
Parents or guardians cannot execute Will on behalf of minors or lunatic children.
A Will must be attested by minimum two witnesses is necessary.
A Scribe (deed writer / advocate) cannot be called witness because they have signed the Will in column of drafted by. Thus, two independent attesting witnesses other than the scribe are necessary.
Beneficiary under a Will should not sign as attesting witness. In order to avoid disputes in implementation of a Will, description of property and the name of the beneficiaries should be clearly written so that there is no room for doubt.