Redesignation of an apartment, donation of an apartment, gift for an apartment

For persons of the first and second degree of kinship (children, grandchildren, spouses, parents, brothers, sisters, grandfather, grandmother) the donation is tax-free.

Donations of real estate are taxable for persons of the third and subsequent degrees of kinship and non-residents.

1. Tax benefits: A donation agreement can help avoid paying real estate tax or reduce its amount compared to other forms of property transfer.

2. Minimization of risks: Transferring property by gift can help avoid encumbrances on the estate, such as debt or legal claims.

3. Saving time and costs: Compared to other ways of transferring property, a donation contract can be faster and less expensive in terms of time and money.

4. Preservation of property rights: The transfer of property by donation ensures that relatives preserve their property rights and helps to avoid disputes or conflicts regarding inheritance in the future.

5. Support of family relations: Gifting real estate to relatives can emphasize your family ties and help strengthen family relationships.

Anyone who owns property can donate it, including individuals and legal entities.

You can donate various immovable property, including buildings, premises, residential buildings, apartments or their parts, garages.

Yes, you can gift real estate with an existing mortgage. Donating real estate that is not yet fully paid for is possible, but the relevant legal aspects and tax implications must be considered. Get advice from a notary.

Donation of property between close relatives is exempt from taxation under the tax law. Such donation is not subject to VAT or other taxes.

Therefore, when donating property between close relatives, the market value does not need to be determined for tax purposes. Donations between close relatives can be made without the need for property valuation and subsequent taxation.

In all other cases, to determine the market value, it is necessary to contact experts who will evaluate the real estate. Contact us, we will make an expert assessment.

Donating real estate can have consequences for future inheritance, in particular, changing the composition of heirs or limiting their rights to real estate.

Legal grounds for refusal to donate real estate may include, in particular, lack of confidence in the recipient's ability to manage real estate, inadmissibility of the recipient for donation for other reasons, lack of legal documents, etc.

It is necessary to pay attention to such circumstances as the fact that the person to whom the real estate was gifted can do whatever he wants with it from the moment of signing the donation contract. Therefore, for example, if a grandmother wants to give an apartment to her grandson, but fears that the grandson may sell the apartment and leave her housing, it is better to use other legal instruments, such as a will.
It is also necessary to take into account the possibility of cancellation of the donation contract by the donor.

Termination of the contract or its change is possible with the help of an additional written agreement. The recipient has the right to refuse the gift at any time before accepting it.

The donor may terminate the donation contract and demand the return of the gift in one of the following cases:

• if the Donee intentionally committed a crime against the life, health, property of the Donor, his parents, wife (husband) or children;
• if the Donee committed intentional murder of the Donor, the Donor's heirs have the right to demand termination of the donation contract;
• if the Donee creates a threat of irreversible loss of the gift, which has a great non-property value for the Donor;
• if as a result of negligent treatment of a thing of cultural value, this thing may be destroyed or significantly damaged;
• in case of breach of obligations by the recipient.

At the same time, the Giver has the right to demand the return of the gift only on the condition that the gift is preserved at the time of the request.