Is Stamp Duty Applicable on Gifts and Inheritances?

Yes, stamp duty is applicable on gifts and inheritances in India, although the rates and regulations can vary by state. Here are the key points:

• Gift Deeds: When property is transferred as a gift, it typically requires a gift deed to be executed, which attracts stamp duty based on the property's market value.
• Inheritances: Inheritances may also be subject to stamp duty, although some states provide exemptions for close relatives.
• Exemption Criteria: Many states offer exemptions or reduced rates for gifts between family members, such as parents to children.

Example: If a property worth ₹50 lakhs is gifted, and the applicable stamp duty is 5%, the stamp duty would be ₹2,50,000 unless an exemption applies.

Understanding these regulations is crucial for individuals involved in estate planning or property transfers. You may use the Stamp Duty Calculator to estimate stamp duty and other relevant rates for property transfers.