GIFT OR WILL



TNS


There are two ways through which you can transfer your share in the property in your wife’s name:

If you make gift deed

If you make a gift deed then absolute and clear title would pass to your wife and she would become an undisputed owner of the property during your lifetime. Once a gift deed is executed then you will not have any share/interest/ownership in the property. You must understand the basic points involved in trasfer of property through a gift deed.

According to law a gift is a voluntary transfer of property from one person (the donor or grantor) to another (the donee or grantee) without full valuable consideration. However, a gift deed is legally valid when it is actually delivered to and is accepted by the donee.

In India, previously there was Gift Tax Act under which the donor had to pay gift tax on the amount of gift. However, the said Act has been abolished and, a new provision was inserted in the Income Tax Act (1961) under Section 56 (2) which provides that if the gift is received by an individual or Hindu undivided family (HUF) from any relatives or blood relatives or at the time of marriage or as inheritance or in contemplation of death, then it will not be taxable.

If you make a Will

If you make a Will then you can have the ownership of your share in the property till you are alive.

As mentioned earlier once the gift deed is executed you will lose your share in property and would not be able to take further decisions regarding it. But if you make a Will then you can modify/change your decision any number of times according to your wish or circumstances.

You can update your Will in case there is a change in the circumstances. This normally includes important family changes such as the birth or death of a family member.
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  • What to do in case of theft or misplacement of property documents

    The loss, theft or misplacement of property documents is a cause of concern for property owners since no transaction can be completed without checking the original sale deed.

    It is typically regarded as the sole proof of ownership of property. In case of loss, the owner must get the duplicate documents so that the chances of misuse are minimised. Here's how.

    FIR: A first information report (FIR) should be filed with the police by the owner as soon as possible. It must state clearly that the property documents have been misplaced, lost or stolen.

    Advertisement: An advertisement in an English daily newspaper and a vernacular newspaper must be published, declaring the loss of property documents. The owner must wait for 15 days to see if someone finds the documents and returns the same.

    Undertaking: An undertaking must be prepared on a stamp paper about the loss of property documents, along with the details of the property, a copy of the advertisement and the police complaint number. It needs to be registered, attested and notarised.

    Duplicate deed: To obtain the duplicate copy of the sale deed, the owner must go to the registrar's office, where the property was registered at the time of purchase. The requisite fee must be paid and all the relevant documents must be provided at the registrar's office.

    Points to note

    The owner must retain a copy of the complaint, as well as the newspaper advertisement, as proof of loss and action taken.

    If the property was mortgaged and the documents were misplaced by the bank, it must notify the owner so that suitable action can be taken. However, the bank must bear the cost involved in getting the duplicate documents.








    What to do in case of theft or misplacement of property documents - The Economic Times
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  • What is the meaning of the term ‘urban land’ which is covered within the provisions of the Wealth Tax Act for the purposes of assessability?

    TNS


    Urban land means land situated:

    (i) In any area which is comprised within the jurisdiction of a municipality (whether known as a municipality, municipal corporation, notified area committee, town area committee, town committee, or by any other name) or a cantonment board and which has a population of not less than ten thousand; or

    (ii) In any area within the distance, measured aerially,

    (I) Not being more than two kilometers, from the local limits of any municipality or cantonment board referred to in sub-clause (i) and which has a population of more than ten thousand but not exceeding ~1 lakh; or

    (II) Not being more than six kilometers, from the local limits of any municipality or cantonment board referred to in sub-clause (i) and which has a population of more than ~1 lakh but not exceeding ~10 lakh; or

    (III) Not being more than eight kilometers, from the local limits of any municipality or cantonment board referred to in sub-clause (i) and which has a population of more than ~10 lakh, but does not include land classified as agricultural land in the records of the government and used for agricultural purposes or land on which construction of a building is not permissible under any law for the time being in force in the area in which such land is situated or the land occupied by any building which has been constructed with the approval of the appropriate authority or any unused land held by the assessee for industrial purposes for a period of two years from the date of its acquisition by him or any land held by the assessee as stock-in-trade for a period of ten years from the date of its acquisition by him.

    The above definition is applicable for assessment year 2014-15 i.e. financial year 2013-14. It has been explained in the relevant section that for above purposes the term ‘population’ means the population according to the last preceding census of which the relevant figures have been published before the date of valuation.
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  • Dear Seniors

    Can anybody provide me the legal defination of dependent children with reference source?
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  • Advantage women homebuyers

    TNS

    What’s the biggest advantage of buying property in your wife’s name? Pleasing her, impressing the family, being seen as a trendsetter in a patriarchal society? Yes, there is all that, but the icing on the cake is that you might shave off 1-2 per cent of the property value. Several state governments offer women buyers a discount on stamp duty as a part of social initiative. In Delhi, for instance, a woman needs to pay a stamp duty of 4 per cent as compared to 6 per cent to be paid by men who buy a property.

    The stamp duty in Haryana for a men is 7 per cent whereas for women it is 5 per cent. If the property is bought jointly in name of a male and female with 50 per cent share of each, the stamp duty is calculated at 6 per cent of the property transaction value

    This benefit of lower stamp duty can be availed of even when the property is gifted to the spouse.

    With more assets in their name, the economic status of women in India can improve, which in turn will make them less vulnerable to exploitation. “In many northern states, there is an imbalance in the ratio. This is the ratio of male to female population, with the national average being 914:1000. So this discount was started to incentivise property buying by women.

    If you are applying for a home loan the chances of it getting approved are higher if there is a woman co-borrower. For one, the repaying capacity of two people will be higher than that of one, which will put your lender at ease about the loan getting repaid on time. If the co-applicant is a woman and she is the first applicant, then chances of the loan getting approved are even higher. Reason: women are seen as more responsible when it comes to repaying loans.

    According to LIC Housing Finance, loans given to women or where a woman is the first applicant, are regular and disciplined in repayment. The housing finance company is also offering loans to women at 25 basis points lower than the normal rates, under the Bhagya Lakshmi scheme, till March 31.

    A home loan application is usually standard and one is required to show three years of income tax returns filed, three months of salary slip and other proof of identity and residence. If all documentation is in place, there is no reason why the bank should reject the application, right? But banks still may find ways to reject your application on the basis of what they perceive as your repayment capability or past credit history.

    Recently the State Bank of India cut home loan rates by up to 0.4 per cent for new borrowers, a day after RBI kept its key policy rates on hold. While women borrowers would get an additional 0.05 per cent concession on card rates. For loans of above Rs 75 lakh, the new rate would be 10.30 per cent. For women borrowers it is 10.25 per cent.

    Tata Capital will offer home loans at lower rates to women borrowers, on the lines of similar offerings being made by state-run institutions like SBI and LICHF.
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  • Retrieve a lost cause

    What if you lose your original property papers? What is process of taking housing loan against duplicate registration deed.

    It is always better for home buyers to check all the requisite property documents before making the final call. Property documents are the most significant thing while buying or selling a home. But in case if you lose your documents then here’s what you can do:

    It’s not that you will not be able to sell your house as you have lost the original documents. There are solutions for each and every single thing and in such cases, duplicate documents is an option. You need to get the duplicate documents if you want to sell your property that has no original papers. Duplicate documents will also help you to secure a bank loan in case if you are buying a new one. But be prepared to spend a hefty sum from your pocket to make a hassle-free deal in future.


    How to obtain duplicate papers?

    When you misplace such important documents, the first and foremost step is to file a police complaint. The owner should file an FIR stating that the documents have been lost, misplaced or stolen, and get a copy of the complaint. If the house is mortgaged and the documents have been misplaced by the bank, the FIR will still have to be filed by the owner. If you are a buyer then it is your right to ask the seller to provide you with a copy of the FIR.

    Moreover, the home owner has to put an advertisement in daily newspapers including English and regional language ones, stating the loss of the original documents. Even a buyer can place such an advertisement and through it call for any claimant to the property within 15 days of the advertisement being printed.

    The owner can also apply for a duplicate share certificate from the housing society depending on the police complaint. The housing society can put up the share certificate application on their society meeting and if it gets the nod from everyone concerned, then the society will issue a copy of this certificate after charging a certain amount.

    Another important document which both the owner and the buyer need to have is the NOC, i.e., no objection certificate. Without this certificate, it will be very difficult to obtain a loan from any lender.

    The next procedure which the owner has to do is to get an undertaking on a stamp paper, affirming on the loss of the original documents. The undertaking should outline the details of the property, the text of advertisement published in the newspaper, and the police complaint number. It should also clearly state that all the details mentioned in the undertaking are true. Then these document will be registered, attested and notarized with an attorney.

    Get duplicate copy of the original sale deed

    To get a duplicate copy of the sale deed, you need to visit registrar’s office as it keeps all the records of transactions in its jurisdiction. The owner will have to submit copies of the police complaint, share certificate from the housing society, the newspaper advertisement, and the undertaking, at the deputy registrar's office and pay the required charges. He/she will then be issued a copy of the sale deed,

    If it is an old property, then it is also advisable to get a title report of the document to ascertain that the property is free of encumbrances. As the deputy registrar's office will have all the details of the property, you can get this document from there easily.
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  • Buy under-construction property cautiously

    TN

    New launches are risky for an average homebuyer in an age of delays. The ready-to-move options have additional cost burden and often cash component is demanded. Hence, many of the end users look for under-construction properties in the resale market. This may sound to be a win-win situation for both the first buyers (as he books his profit) and the second buyer who has the assurance after looking at the progress of construction that he will get his apartment within an expected time. The data available with Track2Realty suggests that more than half of the property transactions in the last three years have involved under-construction properties.

    However, purchasing an under-construction property is not as simple as it appears from the standpoint of construction timelines. The process needs extra caution from legal standpoint to make sure that the second buyer is not caught between the developers' vague commitments and the first buyers' exit without the mandatory processes.

    Sachin Sandhir, MD, RICS South Asia, categorically says that in such a market, where project delays are now a common phenomenon, it is advisable to invest in a project, where one can see some construction on ground. While investing in an under-construction property, it advisable to conduct one's own research and background check. In an ideal situation, the catchment area for the project should be populated with a good infrastructure and amenities. It is equally important to check the developer’s credentials.

    “If one is able to go through the financial statements and the documents of the development firm and the project, then looking at the break-up of cash flows, expenditure, the growth factor in the project, building insurance, long-term capital appreciation potential, lease term, the lock-in period and its expiry dates will give a fair understanding of the project and the strength of the developer” says Sandhir.

    As Sivaramakrishnan, Head of Residential Services with CBRE South Asia, hence suggests that when an under-construction property is transacted between two home buyers, the most important aspect to check for is whether the property developer has a clear land title or not; and whether it has been granted permission for non-agricultural land use. Other important items on the buyer's checklist should be the building plan sanction by relevant municipal authorities (with details of total project area, total number of buildings and floors, etc.); the Project Licence from the relevant authority; an Environment Clearance certificate; and a Commencement Certificate issued by municipal authorities permitting the developer to begin construction.

    “In case there are co-owners of the under-construction property in question, the home buyer should ensure that all co-owners have authorised the sale, along with an Allotment Letter, and a Builder-Buyer Agreement. For a clear hand over of the said property, the home buyer should also be in possession of an account statement from the developer, together with a copy of all payment receipts made to the developer for the property,” says Sivaramakrishnan.

    Surabhi Arora Associate Director, Research, Colliers International suggests buying under-construction property in resale requires a lot of caution. Documentation is the key, ensure you have all communication and confirmations in writing and get all the original documents such as allotment letter, builder-buyer agreement, NOC from the bank if property is on mortgage, payment schedule, layout plan of the property, copy of the project's drawing etc. One has to understand that almost all agreements are pro-developer. However, there are various clauses that protect buyers' rights such as interest payable by developer in event of a delay and refund process.

    “You should get a detailed payment statement from the developer for the apartment you are purchasing in resale. The sheet should mention the total cost of apartment and parking as well as all charges, including payment, to government authorities like stamp duty, registration, Mvat, Service tax etc. and details of payment made by the first allotee. Ensure and clarify there are no additional charges once the final cost has been given. In some cases, developers do not pay any interest on delay of project in case there is any late payment by the allotee, thus one should ensure if there is any penalty of late payment due for the first owner and implication of the same. You must also check the transfer charges levied by developers,” says Arora.


    Project checklist for buyers

    -Clear land title
    -Permission for non-agricultural land use
    -Building plan sanction by relevant municipal authorities (with details of total project area, total number of buildings and floors, etc.)
    -Project License from the relevant authority
    -Environment Clearance certificate
    -Commencement Certificate issued by municipal authorities
    -Layout plan of the property
    -Copy of the project's drawing
    -Digging certificate
    -Pollution Control Board NOC
    -Fire fighting drawings approval
    -Airport authority NOC
    -Labour cess registration
    -Payment and dues of land

    Why under-construction is in demand

    -New launches risky due to delays
    -Ready-to-move in has additional cost burden and often cash component
    -A win-win situation for both the first buyers (as he books his profit) and the second buyers who ensures with the construction progress
    -More than half of the property transactions in the last three years with under-construction property.

    Things needs to be checked

    -Construction on ground
    -Infrastructure and amenities of the catchment area
    -Developer’s credentials and time commitment
    -Financial statements and documents of the development firm and project, break-up of cash flows, expenditure, growth factor in the project, building insurance, long-term capital appreciation potential.
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  • Unfair business practices by developers-How to protect yourself from builder violations?

    https://in.finance.yahoo.com/news/unfair-business-practices-developers-protect-yourself-builder-violations-091649840.html
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  • Hi Manojbhai ;
    Thanks for sharing valuable information here.
    There appears to be a lot of confusion regarding Capital Gains Tax for selller on resale of under construction Property.How can this Capital Gains Tax be saved ? Can you please provide relevant threads , links , information regarding this ?
    Thanks in anticipation.
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  • Originally Posted by omshanti69
    Hi Manojbhai ;
    Thanks for sharing valuable information here.
    There appears to be a lot of confusion regarding Capital Gains Tax for selller on resale of under construction Property.How can this Capital Gains Tax be saved ? Can you please provide relevant threads , links , information regarding this ?
    Thanks in anticipation.



    Here r a few of them -


    https://www.indianrealestateforum.com/forum/city-forums/ncr-real-estate/gurgaon-real-estate/12616-calculation-of-long-term-capital-gains-on-property?t=14953

    https://www.indianrealestateforum.com/forum/city-forums/ncr-real-estate/gurgaon-real-estate/48950-evaluation-of-capital-gains-on-underconstruction-properties?t=50652

    https://www.indianrealestateforum.com/forum/city-forums/ncr-real-estate/noida-real-estate/20743-capital-gains-tax-amp-delayed-possession-in-noida?t=22933



    Hope they help . There r more threads on this topic, do perform search .
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  • Rental Agreement

    Clipping of Real Estate
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  • Right of adopted child in property

    Right of adopted child in property
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  • Change in Registration Act likely to mention ‘daughter’

    NEW DELHI: The government has proposed a small but significant change in the British-era Registration Act of 1908. The act, which allowed the registration of authorities to adopt sons, will now also explicitly include daughters. Government officials say that until now, the word "son" in the Act was understood to include "daughters" as well. "With the girl child not getting her due in various spheres of life, including property rights, education and healthcare, it was felt that one shouldn't just take it for granted but specify it," a senior government official told ET.

    The Act had been passed to consolidate laws related to the registration of documents and its administration was transferred to the Department of Land Resources under the Ministry of Rural Development. The registration of deeds and documents is a concurrent subject and the government has proposed a number of amendments through the Registration (Amendment) Bill, 2013.

    "Since 2005, daughters have equal rights over property. This could make sure that an adopted girl is not left out as an heir. It is an important step to bring into practice the amended law of 2005," said Ram Singh, an associate professor at the Delhi School of Economics.

    The Standing Committee on Rural Development has said the registration of not just the authorities to adopt a son or daughter, but also the adoption deed be made compulsory. The changes would be made in section 17 of the act, which deals with documents that need to be compulsorily registered.

    The computerisation of land records, issuance of digitally signed documents, biometrics, centralised data bases and online payments had made it necessary for the Act to be amended. The changes are expected to introduce new techniques in the registration process, making it faster, transparent and accurate. The latest standing committee's report on the bill said the changes would not only "facilitate the citizens in availing the technologically advanced services but also give avenues to the states for generating more revenues."

    Through the amendments, the government wants to centralise the land records database to reduce disputes and prevent fraudulent transactions of immovable property.






    Change in Registration Act likely to mention ‘daughter’ - The Times of India
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