After my retirement, I purchased a flat from a developer. Since more funds were required to meet the cost of the flat, my wife and younger son took a joint loan from a bank. However, my elder son has also contributed in clearing this loan. Registration of this flat has been done in our younger son’s name. To avoid misunderstanding at a later stage, how can I include my elder son as joint owner of this flat? Will it be cheaper to have this flat transferred in my name instead?
— R A Mehta Since the flat has been registered exclusively in the name of your younger son, by virtue of his being its sole owner, he has the right to determine whether to share his ownership of this flat with your elder son. If he is willing to have your elder son as joint owner of this flat, he can execute a gift deed of a specific share in this property in favour of your elder son. This way, your elder son can be made joint owner within your lifetime. It is imperative to make timely and complete payment of requisite stamp duty and registration fee on a gift deed of immovable property. Though your younger son can also execute a gift deed of this property in your favour instead, it shall be a longwinded option given your ultimate desire to have both sons as joint owners.
My brother and I have inherited a house in equal share. We are contemplating giving it on rent and sharing the rental income. Since both of us are owners of this house, whose responsibility is it to pay income tax on the rental income?
—Evea Mary Since you and your brother are joint owners of this property and have agreed to share the rental income, your and your brother’s individual share in the rental income derived from this property shall be computed separately for the purposes of income tax. My father had made a gift of a flat in the name of my minor son. We now wish to sell this flat and invest in a bigger property. Is it necessary to seek the court’s permission before selling this flat as I have heard it is a timeconsuming process?
—Mukesh Duggal Yes, since the absolute and sole owner of this property is a minor, it can only be transferred after you (as guardian of the minor) have obtained written permission from the courts to do so. The court may permit transfer of this property to any third party on conditions as the court may deem fit.