What different forms of gift certificate are there?

What different forms of gift certificate are there?

Deeds of gift are legal documents that document the transfer of gifts between people. There are several types of gift deed depending on the type of property being transferred and the relationship between the donor and the recipient. Here follows a detailed review of different types of gift deed, form requirements and legal aspects.

Table of Contents

• Gift certificate for Real Estate
• Gift certificate for Housing Rights
• Gift certificates for Money and Personal Property
• Gift certificate between Spouses
• Form requirements and Content of Gift Certificates
• Legal Aspects and Case Law
• Tax aspects
• Summary

Gift certificate for Real Estate

When transferring real estate, a written deed of gift is always required for the gift to be valid according to Swedish law. For the gift certificate to be valid, it must contain:

• A description of the property being given away.
• A clear transfer declaration.
• Specifying the percentage of the property that is transferred.
• Signatures from both the gift giver and the gift recipient.

When drawing up a deed of gift for real estate, it is also recommended that two witnesses be present and that their names and signatures be included, which is required to be able to apply for deed.

Gift certificate for Housing Rights

Transfer of condominiums also requires a written gift deed. For the transfer to be valid, the recipient must be approved as a member of the condominium association. The deed of gift should contain information about which condominium association and apartment number is intended. Without the association's approval, the gift deed is invalid.

Gift certificates for Money and Personal Property

For transfers of money and personal property such as furniture, art or vehicles, a written gift deed is not required, but it can be beneficial to have one to document the gift. In these cases, the gift is considered complete when it is physically handed over to the recipient. In the case of larger gifts, the gift deed can also specify whether the gift is to be the individual property of the recipient and not be counted as an advance on inheritance.

Gift certificate between Spouses

Gifts between spouses require special rules because they legally divide property. In order for a gift between spouses to become separate property and exempt from future property division, the deed of gift must be registered with the Tax Agency. This ensures that the gift is not mixed with the joint assets of the spouses.

Form requirements and Content of Gift Certificates

For a gift letter to be legally binding, it should include the following information:

• Identity of Donor and Recipient: Name and social security number.
• Description of the Gift: Specification of what is being given away.
• Transfer declaration: A clear declaration that the gift is transferred.
• Conditions: Any conditions for the gift, such as that it must be the individual property of the recipient.
• Date and Place: When and where the gift deed was signed.
• Signatures: Signatures of the donor and recipient, and possibly witnesses.

Legal Aspects and Case Law

A gift can be affected by several legal rules and principles. For example, gifts given close to bankruptcy can be recovered under bankruptcy law. In addition, gifts given to breast heirs can be considered advances on inheritance unless otherwise specified in the deed of gift. This ensures that breast heirs receive their rightful share of the inheritance, regardless of gifts made during the testator's lifetime.

Tax aspects

In the case of gifts of real estate, the recipient must in some cases pay stamp duty. If the compensation for the property corresponds to at least 85% of the assessed value in the year before the deed is granted, stamp duty must be charged. Gifts between spouses are, however, exempt from stamp duty if the gift is registered with the Tax Agency.

Summary

Different types of gift deed and their formal requirements depend on the type of property being transferred and the relationship between the parties. For real estate and condominiums, written gift deeds are always required for the transfer to be legally valid, while gifts of movable property do not always require formal documentation. However, it is always recommended to draw up a gift deed to avoid future disputes and ensure that the terms of the gift are clearly stated. By following statutory form requirements and advice from legal experts, both gift givers and gift recipients can feel secure that the gift is handled correctly and legally secure.

To facilitate the creation of gift letters, you can use our document templates that are adapted to the different types of gifts and their specific requirements. Our templates will help you ensure that all legal aspects are covered and that the gift letter is properly designed.