1. Drafting the deed: the deed should include the following:
- Identification of parties
- Place, Date and Time of execution of the deed
- Details of both the parties, like addresses, relationship, date of birth
- Identification and details of property
2. Circle Rate and Consideration: Though the transfer is via gift and there is no involvement of consideration, still it is essential to determine the value of the property in order to estimate stamp duty and registration charges. Such value calculated on the basis of the estimated area of the property and the market rate/circle rate per sq. ft..
3. Stamp Duty: The stamp duty is a cost paid to the government, which is on percentage basis, determined by circle rate or actual value of property. Such duty differs from state to state and also varies based on the type of property. It can range between 3% to 10%. For instance, the stamp duty rate in Delhi is 6% for men, 4% for women and 5% in case of joint ownership.
4. Registration Charges: Along with the stamp duty, a 1% overhead registration cost also needs to be paid.
5. Payment of Charges: The stamp duty and registration charges can be paid online and citizens residing in Delhi, Gujarat, Chhattisgarh, Karnataka, Himachal Pradesh, Odisha, Tripura, Ladakh, Chandigarh, and Jammu & Kashmir can avail e-stamping facilities. This can be done by visiting https://www.shcilestamp.com/, which is the website for Stock Holding Corporation of India. On the alternative, this can also be done by purchasing non-judicial stamp paper from authorized Stamp Vendors.
6. Sub-Registrar’s office: Visit the sub-registrar’s office, having jurisdiction over the area in which the property is located, after taking appointment. This visit entails the last and final step of registration of Gift Deed, which would conclude the transfer process. The donor, the donee, along with two witnesses have to sign and authenticate the deed.
7. Collection of Registered Gift Deed: Upon successful completion of above formalities, the sub-registrar’s office would provide you with a token slip, which has to be presented after 15-20 days, to collect the original registered Gift deed.