We give and take gifts for many reasons like love, emotion and tradition but when we gift cash and assert, we have to be in line with rules & regulations set by the government.
The Stamp Duty & Registration fee for Gift deed is different when gifted to blood relative and non-blood relative
The Blood relatives are Father, Mother, Brother, Sister, Husband, wife, son and daughter, all other persons are considered as non-blood relatives.
The stamp duty & registration fee for blood relatives:
- Stamp Duty: Rs. 5000
- Cess on Stamps: Rs. 500
- Registration Fee: 1000
- Scanning Fee: Rs, 35 per page
The Stamp duty & Registration fee for non-blood relatives: (% is based on the guidance value)
- Stamp Duty & Surcharge: 5.1%
- Cess on Stamps: 0.5%
- Registration fee: 1%
- Scanning Fee: Rs. 500 (Approx)
—————————————————————————————-
The Special Power of Attorney (SPOA) is different from other types of Power of Attorney because the Special power of attorney is issued only to present the deed in sub-registrar office
Under the Special Power of attorney, the executant (who grants the SPOA) signs the Gift deed. The attorney (who received the SPOA) presents the gift deed in sub-registrar office (the attorney doesn’t sign the gift deed)
The Special power of attorney can be given to any of your trusted sources, the stamp duty is just Rs. 500 irrespective of blood or non-blood relative
For your better understanding, let me give an example:
In the year 2016, Mr.Pankj and his wife Mrs.Shruti jointly purchased a 3BHK flat in Bangalore.
In 2018, Mr.Pankj and his wife shifted to Stanmore, United Kingdom (UK). They purchased another house in UK and obtained UK citizenship.
Out of love and affection, Mr.Pankaj and his wife gifted the flat to his mother without consideration, whereas his mother rented this flat and earn monthly rental income in India.
Mr.Pankaj and his wife didn’t come to India for gift deed registration, they gave Special Power of Attorney to his brother in India, the brother’s name is Mr.Pratik
We followed the below procedure to execute Special Power of attorney for Gift deed registration In India:
- In India, we drafted Special Power of Attorney and Gift deed in Word file.
- We e-mailed special power of attorney and gift deed draft to Mr.Pankaj in UK
- Mr.Pankaj took the printout of special power of attorney and gift deed
- Mr.Pankaj and his wife signed the special power of attorney and gift deed in front of notary in UK. Notary attested the special power of attorney, (notary attestation is not required in gift deed)
- Mr.Pankaj couriered the Notarized special power of attorney and signed gift deed to his brother in India Mr. Pratik
- Special Power of attorney should be adjudicated in District Registrar’s office. In our case, Mr. Pratik submitted the adjudication require in Shivajinagar District Registrar office, Bangalore, he got special power of attorney adjudication in 2 working days, refer to below image
The Stamp duty for SPOA adjudication is Rs, 200, the above SPOA has two executants (Mr.Pankaj and his wife Mrs. Shruti), we need to pay the stamp Duty of Rs. 200 per executant so the total stamp duty payment is Rs.400 (as per the arrow mark indicated in above image, I paid the stamp duty of Rs. 500 instead Rs. 400 which was my mistake so when you pay the stamp duty, just pay Rs. 200 per executant).
(Edit on 11th Nov 2024: The updated SPOA adjudication fee is Rs. 500 per executant)
Mr.Pratik submitted the application on Kaveri Online services for registration of Gift Deed in sub-registrar office. We need following documents to submit an application
- Sale deed executed by Mr.Pankaj & Mrs.Shruti in 2016
- Property tax receipt
- eKhata
- SPOA (Shared the image above)
- Gift Deed signed by Mr.Pankaj & Mrs.Shruti
- Donors PAN
- Mother Mrs. Vidya (Donee) Aadhaar and PAN with her
- Two witness Aadhaar
Our application was approved in 2 working days, made the government fee payment and booked the slot for registration
We carried the following documents to sub-registrar office for registration:
- Application summary report
- Gift Deed signed by Mr.Pankaj & Mrs.Shruti
- SPOA
- Two witnesses and three Aadhaar
- Mr.Pratik presented the gift deed which was already signed by Mr.Pankaj and Mrs.Shruti. Mrs.Vidya signed the gift deed
- Mr.Pratik and Mrs.Vidya gave thumb impressions and webcam photo
Below is the image of the registered Gift Deed, you can notice Mr.Pankaj and Mrs. Shruti’s signs on left side and Mrs. Vidya’s sign on right side of below gift deed, (SPOA holder Mr.Pratik has not signed the gift deed)
Note:
- The classification of blood and non-blood relative are subject to Karnataka. In few other states in India, In-laws, nephews and nieces are considered blood relatives
- In Karnataka, special power of attorney attested by notary or Indian embassy in abroad is accepted, whereas in few other states in India, attestation from Indian embassy is mandatory
———————————————-
We assist special power of attorney and gift deed registration. To opt for our service, please write to us pgnproperties@gmail.com or WhatsApp to + 9 1 – 97424 79020.
Thank you for reading…