What is a Gift Deed?
If a lawful owner of a property wants to transfer his/her property to any other party without any consideration of monetary exchanges, then it can be made through a gift deed. A Gift Deed has to be duly signed by the donor and after that has to be attested by two witnesses and then registered. Gift deed charges in India varies from state to state as the stamp duty must be paid on the value of the property.
In general, it has been seen that family members have given Gift deeds to other members of the family, but there is no such type of restriction.
Guidelines for Gift Deed
The following are the guidelines which must be kept in mind while you register for a Gift Deed:
A minor cannot be involved in a valid contract, i.e. any gift which is offered to him/her would ultimately be accepted by the guardian of the minor on his/her behalf.
Once a gift has been made, it is not possible to revoke it.
The Gifts which has been given to the relatives and come under the Income Tax Act are exempted from tax when with the done.