Difference Between Release Deed & Gift Deed

Gift And Release Deed English

Gift Deed :-


        “Gift Deed” is the legal document that can be used to transfer property from one person to another in friends, family, relatives or others voluntarily. A gift deed allows one to gift his/her assets or transfer ownership without any exchange of money.

        A gift deed is a proof of the transfer of all the rights associated with the property from the donor to the donee. Once a gift deed is executed in favor of any recipient, the donor does not have the right to cancel or revoke the deed at a later stage.

Example :-

        A gift is money or jewellery, house etc. that can be received without consideration. If you would like to gift the property to any of your blood relative, gift deed can be used. If a property is an immovable property, it is mandatory to register the gift deed as per section 17 of the Registration Act, 1908.

Cost :-

        The stamp duty is payable for registering a gift deed. Stamp duty on gift deed is less than the stamp duty that is applicable for selling the property through a sale deed.
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We can gifted Anything which qualifies as gift must have following properties :-

1)   Property must be well defined existing movable or immovable property.

2)   It must be transferable.

3)   Property should exist today and should not be a future property.

4)   It should be tangible assets.

Documents required for Gift Deed :-

Original Gift Deed.

Original Sale Deed of the property.

PAN card of both the parties.

Latest tax paid receipts.

Two witnesses.

Encumbrance Certificate.
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Release Deed :-



        A deed of release acts as a binding legal document that removes any previous claim on an asset, allowing the buyer to purchase the property free and clear of encumbrances.

        A release deed is a legal document that removes a previous claim on an asset. A release deed used in situations related to property and real estate. It is used when transferring property from one owner to another.

        If both partners mutually purchased the property and one of the partner wants to release his share from the property in that case release deed is executed. In release deed all documents related to the transfer of immovable property, need to be signed by both parties, registered and stamped.

        Gift deed is formed between two parties without any consideration, where as release deed needs a consideration for being a valid deed.

Example :-

         If there are more than one owner for a property, and if one of the co-owner wants to transfer his or her rights in the property to another co-owner then this can be done using the release deed.

Cost :-

         The stamp duty will be applicable only on the portion of the property that is relinquished. Generally the applicable fee is similar to that of a gift deed.
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