Q: Step-by-step procedure

The section of law behind each step is shown beside it. 1 Check title — Fard or title documents, no encumbrances. 2 Draft the gift deed TPA s.123 Parties, relationship, property and handover of possession. 3 Stamp duty Stamp Act 1899 E-stamp in the donee's name on the official valuation. 4 Register Registration Act s.17 At the Sub-Registrar within 4 months. 5 Mutation or transfer Land Revenue Act s.42 Revenue record or society transfer. 6 Wealth statements ITO s.116 Both people update their statements.

Question 1

When this applies

Accepted Answer

You want to transfer a house, plot or flat to a relative without payment.

Question 2

Time limits, fees and sections

Accepted Answer

Item Rule Section Income tax Gift from a relative is not income ITO s.39(1)(la), s.85(5) Registration Compulsory for immovable property; within 4 months of signing Registration Act 1908 s.17, s.23 Form Signed by the donor, attested by two witnesses Transfer of Property Act s.123

Question 3

Step-by-step procedure

Accepted Answer

The section of law behind each step is shown beside it.

1
Check title—
Fard or title documents, no encumbrances.
2
Draft the gift deedTPA s.123
Parties, relationship, property and handover of possession.
3
Stamp dutyStamp Act 1899
E-stamp in the donee's name on the official valuation.
4
RegisterRegistration Act s.17
At the Sub-Registrar within 4 months.
5
Mutation or transferLand Revenue Act s.42
Revenue record or society transfer.
6
Wealth statementsITO s.116
Both people update their statements.

Question 4

Documents to prepare

Accepted Answer

CNICs of both Title documents Gift deed E-stamp paper Relationship proof (FRC)

Question 5

Practical tips

Accepted Answer

Gifts from non-relatives are taxed at fair market value as income from other sources

Item	Rule	Section
Income tax	Gift from a relative is not income	ITO s.39(1)(la), s.85(5)
Registration	Compulsory for immovable property; within 4 months of signing	Registration Act 1908 s.17, s.23
Form	Signed by the donor, attested by two witnesses	Transfer of Property Act s.123