| Question And Answer | |
|---|---|
| Subject: | Wether Transfer of immoveable property by family arrangement does it attract stamp duty? |
| Category: | General Law |
| Querist: | Anil |
| Answered by: | Advocate Rahul Hakani |
| Tags: | Family Arrangement, Stamp Duty |
| Date: | May 9, 2021 |
Sir, Under a family settlement if 1 faction of the family beneficiaries relinquishes their rights in property of the Family trust in the favour of the other beneficiaries, at the time of registration of this transfer, will this attract stamp duty if yes then what will be the percentage. The Trust and the Properties are situate in Mumbai. Thank you in anticipation of an early reply.
– Stamp Duty on Release Deed is covered by Article 52 of the Maharashtra Stamp Act, 1958. The same is reproduced as under :
52. Release, that is to say, any instrument (not being an instrument as is provided by section 24) whereby a person renounces a claim upon other person or against any specified property,
(a) if the release deed of an ancestral property or part thereof is executed by or in favour of brother or sister (children of renouncer’s parents) or son or daughter or son of predeceased son or daughter of predeceased son or father or mother or spouse of the renouncer or the legal, heirs of the above relations. Two hundred rupees.
(b) in any other case. The same duty as is leviable on a conveyance under clause (a), (b) [or as the case may be (c)], of Article 25, on the market value of the share, interest, part or claim renounced.]
Depending on the facts of your case with respect to relation between the beneficiaries and nature of property and the contents of your Release deed the Stamp duty will be levied.