The ₹5,000 Gift Deed: How UP is Ending Family Property Disputes

UP has fixed the stamp duty for family Gift Deeds at ₹5,000, now including commercial and industrial assets.

In what is being hailed as one of the most significant real estate reforms in Uttar Pradesh’s history, the Yogi Adityanath government has officially expanded the scope of stamp duty exemptions for family property transfers. As of January 2026, the prohibitive costs that once prevented families from legally documenting their assets have been replaced by nominal, flat-fee structures.

Universal Relief: From Homes to FactoriesThe most striking change is the universal application of the ₹5,000 flat stamp duty for Gift Deeds. While a similar relief existed previously, it was strictly limited to residential and agricultural properties. The 2026 reform extends this benefit to Commercial and Industrial properties. This means transferring a family-owned shop, warehouse, or factory to the next generation now costs a fraction of the previous 5-7% market-value-based duty.

Ending Ancestral Partition HurdlesFor decades, the high cost of registering the "Bantwara" or partition of ancestral property led many families to rely on verbal agreements, which frequently ended in long-drawn court battles. The government has now capped the registration of such partitions at a flat ₹10,000. By making the legal route affordable, the state expects to significantly clear the backlog of property-related litigation in civil courts.

Social Reform and Rental TransparencyThe new rules are also socially progressive, explicitly including the widow of a deceased brother in the list of eligible relatives for the ₹5,000 gift deed. Furthermore, the 90% reduction in rent agreement fees is a strategic move to formalize the massive rental market in cities like Noida, Lucknow, and Ghaziabad. By removing the financial barrier to registration, the government is providing legal security to both landlords and tenants.

Published On:
January 11, 2026
Updated On:
January 11, 2026
Harsh Gupta

Realtor with 10+ years of experience in Noida, YEIDA and high growth NCR zones.

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