Gift Deed

Registration of a Gift Deed is mandatory when the subject matter is immovable property, as required by Section 123 of the Transfer of Property Act, 1882 and the Registration Act, 1908. For movable property, registration is optional but advisable, especially for high-value items.

Generally, once a valid gift is completed through execution, acceptance and, in case of immovable property, registration, it is irrevocable. Limited revocation is recognised only in certain conditional gifts or where the deed itself reserves a lawful right of revocation consistent with statute and case law.

Several Indian states offer concessional stamp duty for gifts between specified relatives such as parents, children or spouses. The exact rates and eligible relationships vary by state, so you should check the local stamp law or consult a local lawyer or Sub-Registrar office.

Under the Income-tax Act, 1961, genuine gifts from specified relatives such as spouse, parents, children, siblings and certain lineal ascendants/descendants are generally exempt from tax, whereas gifts from non-relatives above specified thresholds may be taxable as income from other sources. Always confirm current thresholds and rules with a tax professional.

Yes. For gifts of immovable property, both Donor and Donee should ordinarily be present before the Sub-Registrar to admit execution and acceptance, along with two witnesses and required documents such as ID proofs and property papers.