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Gift deed is a legally binding document that voluntary transfers, from the owner, all the rights and obligations relating to a property, to the receiver who becomes the absolute owner of the property without any consideration.
Under section 122 of transfer of property act, 1882 a person is empowered to transfer his property to any person without any consideration through a gift deed.
According to section 17 of the registration act 1908, it is mandatory to register a gift deed in order for it to be valid. Gift deed is valid only if it is given out of love and affection, without any consideration in return.
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