Response

In my view Yes a Father-in-Law can execute a gift deed in favour of his Daughter-in-Law. In fact, any person can gift both movables and immovables to any person out of love and affection, gratitude etc… One cardinal principle of a Gift is that there must not be any exchange of money between the Donor and the Donee. Assuming that your question relates to a Father-in-Law wanting to gift immovable property to his Daughter-in-Law, following points must be taken into consideration: 1.The Father-in-Law is gifting his self acquired property, in the event he wants to gift his ancestral or Joint Family Assets, he can only gift the share that he is entitled to. 2. A Gift attracts a stamp duty (in Karnataka) equivalent to that paid for a sale deed if it is not executed between class-1 Heirs, i.e. between Father/Mother, Husband/Wife, Brother/Sister, Son/Daughter, Grandson/Grand Daughter, when the Stamp Duty . In this case, as the Daughter-in-Law does not fall within the exception, the Stamp Duty will be charged on the market value of the property same as it is charged for any conveyance.

Gift Deed in favor of Near Relatives (in favor of Husband, Wife, Son, Daughter, Grandson, Granddaughter or Wife of a deceased son) Ð Rs. 200/- Stamp Duty, 1% LBT, and Rs. 200/- Registration Fees. Gift Deed in favor of other Family Members (not in favor of near relatives) Ð 3% Stamp Duty, 1% LBT, and 1% Registration Fees (Max Rs. 30,000/-) is applicable.
Gift Deed in favor of other than Near Relatives and Family Members Ð Equivalent to Sale Deed/Conveyance Deed. A gift deed is a document by which ownership of the property can be transferred without any Consideration. A person who transfers the ownership is called ÒDonorÓ and the person who gets the ownership called a ÒDoneeÓ.

Reference: The law governing the case is section 122 of the Transfer of Property Act, 1882, you can transfer immovable property through a gift deed. Like a sale deed, a gift deed contains details of the property, the transferrer and recipient. But it allows you to transfer ownership without any exchange of money.
Registering a gift deed with the sub-registrar is mandatory as per section 17 of the Registration Act, 1908, and as per section 123 of the Transfer of Property Act. If you donÕt do this, the transfer will be invalid.

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