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Uttar Pradesh cuts duty for commercial assets transfer via gift deeds

Uttar Pradesh cuts duty for commercial assets transfer via gift deeds

LUCKNOW: The Uttar Pradesh cabinet on Tuesday approved transfer of commercial and industrial properties among family members through gift deeds at a concessional stamp duty capped at Rs 5,000. Earlier, this concession, introduced in Aug 2023, applied only to agricultural and residential properties.Stamp and registration minister Ravindra Jaiswal said that under Indian Stamp Act, 1899, gift deeds for immovable property were traditionally charged stamp duty based on value of the property, similar to conveyance deeds, while registration under the Registration Act, 1908, was mandatory.“Before 2022, gift deeds among family members attracted stamp duty equivalent to the full circle rate. A notification issued on August 3, 2023, capped stamp duty at Rs 5,000 for gift deeds within families, but this relief was restricted to agricultural and residential properties,” Jaiswal said.Calling it major relief, Jaiswal said the cabinet has now extended the concession to commercial and industrial properties, making intra-family transfers affordable, transparent and legally streamlined. The revised rules will take effect from the date of publication in the official gazette. 

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