How to transfer a property
August 15, 2022 हिंदी में पढ़ेंTable of Contents
A property can be transferred for various purposes and reasons. In order to facilitate such a transfer Indian laws have introduced the following different methods:
1. Sale deed
In a transfer of property, the most important document is the sale deed. A sale deed will contain every detail related to the deal, beginning with the names and addresses of parties involved, the size of the property in question, its build, its location, and access points.
The main purpose of the deed is to certify that the property is free from encumbrance. This means that the seller has complete ownership and there is no lien on the same. In case the property has been mortgaged, it should be settled before the deed is signed.
It would also, of course, include the sale price, the token amount given, the remaining payment to be given, and all other details of the transaction. All other documents handed over to the buyer would also be mentioned in the deed. This deed needs to be registered with the sub-registrar of the area of the property in question. Stamp duty and registration charges are levied on the same. Capital gains tax is also levied under such transactions.
It is important to note that Capital gains tax is not levied if another property is bought in lieu of the property which is being sold.
2. Gift deed
This document allows you to gift your assets or transfer ownership without any exchange of money. In case the property in question is an immovable property, a gift deed needs to be registered with the Sub-registrar of the area in which such transfer is taking place. Stamp duty charges are levied on the said transfer. There will not be any tax implications for such a transfer. Also, a gift deed can be challenged in court, but it cannot be revoked. In the case of movable property, a gift deed is important but it need not be registered.
3. Relinquishment Deed
This is the most commonly used method to transfer the property right of a co-owner to another co-owner. Also, it is a good option when it comes to the transfer of one share in a jointly held property. When such a transfer is done, stamp duty charges are levied. This type of deed is revocable and this type of deed does not give any tax benefits. Also, it is important to note that both stamp duty and tax are applicable on the portion of the property that is being relinquished and not on its total value.
This information is provided for knowledge purposes only. Always consult an expert property and tax lawyer before initiating such law-related procedures.
These guides are not legal advice, nor a substitute for a lawyer
These articles are provided freely as general guides. While we do our best
to make sure these guides are helpful, we do not give any guarantee that
they are accurate or appropriate to your situation, or take any
responsibility for any loss their use might cause you. Do not rely on
information provided here without seeking experienced legal advice first. If
in doubt, please always consult a lawyer.
The internet is not a lawyer and neither are you.
Talk
to a real lawyer about your legal issue.
Comments by Users
No Comments! Be the first one to comment.
Related Articles
- How to Change your Name in CBSE Mark sheet or Certificate
- Everything you need to know about Rectification Deed
- How to apply for arms licence in India
- What is OBC Non Creamy and Creamy Layer
- How to obtain legal heir certificate
- What is the meaning of interlocutory application
- Whats the process to make succession certificate.
- What is the procedure to change name in birth certificate?
- Procedure to apply for Gap Certificate
- Can I drive a commercial vehicle with a normal drivers license?
- Procedure to change name in 10th class certificate
- What is the process to change date of birth in 10th marksheet
- Are rent agreement a valid address proof
- How can I register legal heir certificate online
- Documents required to renew OBC certificate
- What is the procedure to buy land on lease for petrol pump
- How to change the permanent address in sons birth certificate
- Are Jat in UP included in OBC category as per recent government order?
- Procedure to change name in 10 th certificate P.S.E.B
- Court marriage in one day
- Marriage Registration Certificate
Documentation Law Articles
User Reviews
4.6 - 18 reviews
Nice piece on the subject.
I have legal query. Who can I call?
Gave me a very clear idea of the subject.
great advice. Thanks
Gave a clear understanding about my legal issue.
A well written article.
Written in a very simple language.
very nice article
informative with the law.
thanks for the information
good article. Can you share more detail
nice article. Thanks for the information
good work
Excellent work. Very helpful for understanding the subject.
Detailed and informative.
Good work with the article. Solved all my legal queries. Regards.
very informative.
amazing article
VIEW ALL