Document background
The Gift Agreement Between Individuals is a crucial legal document used in India when one person wishes to transfer property to another without receiving anything in return. This document is essential for ensuring compliance with the Transfer of Property Act, 1882, and other relevant Indian laws, including state-specific regulations. It's commonly used for transfers between family members, charitable giving, or estate planning purposes. The agreement must include specific elements such as clear identification of the parties, detailed property description, explicit declaration of the gift, and proper execution requirements. For immovable property, registration is mandatory under the Registration Act, 1908. The document also needs to address potential tax implications under the Income Tax Act, particularly for gifts exceeding certain value thresholds. When properly executed, this agreement provides legal protection to both parties and creates a clear record of the property transfer.
