ISLAMABAD – Transferring property to legal heirs as a gift, known as Hibba in Urdu, involves various taxes and fees in Punjab.
The listed charges apply to gifting a residential plot or house to heirs and include stamp duty, municipal tax, patwari fees, miscellaneous charges, land record assistance and the fee for obtaining a property record extract.
According to a post shared on a popular social media page, transferring a property worth Rs10 million to legal heirs as a gift is estimated to cost Rs221,950.
Breakdown of Cost for Property Hibba
According to the breakdown, stamp duty amounts to Rs101,000, while municipal tax stands at Rs100,000. Patwari fees are listed at Rs10,000, miscellaneous charges at Rs800, the Fard fee at Rs5,150 and land record assistance charges at Rs5,000.
These expenses bring the stated total to Rs221,950 for a property valued at Rs10 million.
The information also clarifies that Federal Board of Revenue (FBR) taxes do not apply to gifts transferred to heirs under the stated conditions.
However, additional FBR taxes may apply when property is gifted to individuals who are not legal heirs.
Property owners should also account for possible additional charges. If a house does not have an approved map or building plan, a map-related fee may be applicable.
Agricultural land transfers may involve substantially lower expenses. The provided information initially estimates costs of up to Rs5,000 for agricultural land, excluding certain additional charges, while a separate note states that gifting agricultural land may cost Rs15,000.
The actual amount payable may depend on the type of property, applicable local fees and the requirements of the relevant land record authorities.