Gift Deed
What is a Gift Deed?
A gift deed is a legal document prepared to transfer movable or immovable property voluntarily. In this process, a person (donor) transfers property to another person (donee) without any monetary value in exchange. The transfer must be done out of love, affection, or free will and must be registered with the appropriate authorities.
The deed must include the important details of the donor and the donee, a description of the property, the donee's acceptance, and the signature of the donor, donee, and witnesses. It must be registered under the Indian Registration Act, 1908.
Why Choose DigiLawyer to Draft Gift Deed?
Need to draft gift deed? We make it simple - With DigiLawyer, you get help from experienced lawyers, receive strong legal documents, and quick delivery - all without leaving your home.
How Can DigiLawyer Help You Make a Gift Transfer Deed?
Preparing a gift deed can be complex, but we help you handle the process smoothly. We help you in:
Personalized Deed Drafting: DigiLawyer prepares a customized gift deed format on stamp paper of the appropriate value for you to meet your specific needs for the transfer of movable or immovable property.
Compliance with Local Laws: DigiLawyer ensures the gift deed meets local property and gift laws, reducing legal risks.
Clear and Simple Language: The deed is drafted in easy-to-understand, legally sound language for both donor and donee.
E-Signing Integration: Both parties can digitally sign the gift transfer deed, making the process quick and convenient.
What are the Requirements for a Gift Deed?
Here is the list of details required for the deed:
- Gift Deed Draft – The actual document specifying the gift details.
- Proof of Identity – Aadhar card, PAN card, passport, voter ID, or driver’s license of both donor and donee.
- Proof of Address – Recent utility bills, ration card, passport, or bank statements.
- Title Deed/Ownership Proof – Documents proving the donor’s ownership of the gifted property (e.g., sale deed, property tax receipts).
- No Objection Certificate (NOC) – If applicable, from housing societies or authorities.
- Valuation Certificate – Sometimes required for stamp duty calculation.
- Passport-sized Photographs – Of both donor and donee.
- PAN Card – Mandatory for both donor and donee for tax and registration purposes.
- Registration Fee and Stamp Duty – Payment proof during registration.
What are the Key Conditions for a Valid Deed of Gift?
To make your deed legally valid, make sure it follows the following conditions:
- Donor Must Be a Major: The Donor's age should be above 18 years, and he must be in a position to transfer property.
- Free Will and Voluntary Consent: The property transfer must be done out of the donor's free will and not under any pressure of intimidation, deception, or any form of compulsion.
- No Consideration: The donation should be executed without any form of consideration for the good.
- Acceptance by the Donee: The gift deed must be transferred when both the donor and the donee are alive. A gift can only be considered valid to the extent that the person receives and accepts it so that he/she can be bound by it.
- Property Must Exist: According to the current taxation laws, the property in the deed must be in existence on the date of the gift. Any future property transfers made for an immovable property through a gift deed are considered void.
- Compliance with Formalities: Under Indian law, a Gift Deed for immovable property must be in writing, signed by the giver (Donor), and witnessed by two people to be legally valid.
What are the Laws that Deal With Gift Deeds?
Here are some laws that deal with the deed:
- Transfer of Property Act, 1882 (Sections 122-129) – Governs the validity of a gift.
- Indian Registration Act, 1908 – Mandates registration with the relevant sub-registrar of immovable property offered as a gift.
- Indian Stamp Act, 1899 – Gift deed to be stamped accordingly to the value of the property being gifted duty on Voluntary Transfer Deed.
- Income Tax Act, 1961 – Tax implications on gifts.
- Succession Laws – Rights and inheritance issues governed by Hindu succession Act, 1956 for Hindus and Muslim Personal Law for Muslims.
FAQs Related to Gift Deed
Yes, under Section 17 of the Indian Registration Act, the gift deed must be registered to be legally enforceable. An unregistered voluntary transfer deed is unreliable and can be challenged.
No, it should be unconditional and absolute. Conditional gifts are not valid in the eyes of the law.
While challenging a deed of gift is difficult, it’s possible if the donor was not of sound mind or if proper legal procedure was not followed.
Yes, but such gifts attract higher stamp duty and could face legal scrutiny regarding the genuineness of the transaction.
Generally, a gift deed cannot be revoked once executed and registered. However, if the deed includes specific conditions (such as the donee providing care to the donor), and those conditions are not met, then the donor may seek to revoke the deed through legal proceedings.
Yes, a minor can be a donee. However, the property will be held in trust until the minor reaches the age of majority (18 years). A guardian must manage the property on behalf of the minor.
Yes, a deed of gift transfers ownership immediately and is irrevocable once registered, while a will takes effect after death and can be changed anytime before then.
If the donee does not accept the gift during the donor's lifetime, the gift deed becomes void. Acceptance is a crucial element for the validity of a such deed.
Disclaimer: DigiLawyer is not a law firm, a substitute for a lawyer or law firm, a chartered accountancy firm, or a company secretary firm. We act solely as an intermediary between users and registered professionals, and also offer AI-powered legal assistance, consultation, and document drafting tools to improve access to legal support. Use of our website, services, or AI tools is at the sole risk of the user and does not create any lawyer-client or professional relationship. All consultations and interactions facilitated through our platform are strictly between the user and independent professionals. DigiLawyer is not liable for any actions, decisions, or outcomes arising from the use of our platform, AI tools, or reliance on any advice, consultation, or content provided by us or third-party professionals.
Use of our products and services is subject to our Privacy Policy & Terms of Service
