How can I gift agricultural land in India?

Can agricultural land be gifted India?

Under the Foreign Exchange Management Act, 1999, there is no restriction on an NRI inheriting an agricultural land. … However, if the property is an agricultural land, plantation property or a farmhouse, it can only be gifted to a citizen of India residing in India.

Can agricultural land be gifted?

Agricultural land is Ancestral property which cannot be gifted without the consent of all legal heirs and co- parceners. A farmer is entitled to have agricultural land in his/her name transferred as Land ceiling Act.. 1. Agricultural property CANNOT be Sold /Gifted to a non-agriculturist, under any pretext.

Is gift of agricultural land taxable?

Gift Received of Rural Agricultural Land is Exempt

If immovable property received by any person without consideration is rural agricultural land, the same is exempt from taxation.

Who can inherit agricultural land in India?

A non-resident Indian (NRI) or person of Indian origin (PIO), can inherit any immovable property in India, whether it is residential or commercial. They can even inherit agricultural land or a farmhouse, which they are otherwise not entitled to acquire by way of purchase.

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Can a NRI gift agricultural land?

Under the Foreign Exchange Management Act, 1999, there is no restriction on an NRI inheriting an agricultural land. Therefore, you may own this agricultural land, provided that you have completed all the formalities as per the prevalent state laws where the land is situated, to have the land transferred in your name.

Can NRI be gifted agricultural land in India?

An Indian resident can also gift a property to an NRI. Rules say that an NRI or a PIO can only purchase residential or commercial real estate, but not agricultural land or a farmhouse. However, there is no restriction if the agricultural land or farmhouse comes as inheritance or is gifted to the individual.

Can NRI receive gift?

An NRI is allowed to receipt money as gift from a resident Indian under the Liberalized Remittance Scheme (“LRS”), within the limit of USD 250,000 in a financial year as prescribed therein. The donor and the recipient need not be close relatives.

Is stamp duty payable on transfer of property between family members?

Do they have to pay stamp duty? … All other transfers to relatives attract stamp duty even where the property is gifted and no money, or ‘consideration’ is paid. If the property is gifted to a relative – for example to children, brothers or sisters – the duty is calculated on the market value of the property.

Is TDS applicable on agricultural land?

TDS not applicable on Sale of Agricultural Land

However, Section 194IA for TDS on Property is not applicable on sale/purchase of agricultural land. Even if the transaction value is more than Rs. 50 Lakhs – TDS on Property will not be applicable on sale/purchase of agricultural land.

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How do I claim exemption on sale of agricultural land?

The exemption is available to an Individual or a HUF. 2. The land which is being sold must have been used for agricultural purposes by the individual or his parents or by the HUF for a period of two years immediately before the date of transfer.