GIFT OR WILL – decide prudently.

        

                 People who follow my blog regularly know that I often write about making a Will. Today, I will attract your attention to a situation which may arise even in our lives. Before getting to the subject, we will need to know few things. 

A Will is a Legal declaration of the intention of the Testator (maker of the Will) which he desires to be carried into effect after his death. Thus, the ownership (title), rights & interest over the property lies with the Testator during his life span. “Will” shall come into effect after the death of Testator.

On the Contrary, a Gift wherein the Ownership along with rights & interest are transferred instantly to the Donee (person to whom property has been transferred). After such transfer Donor (the person gifting his property) does not have any Rights, Title (ownership) & interest over his gifted property in his life span. Gift takes into effect instantly after the acceptance of the gift by Donee.

Family disputes are peculiar. They are bitter, and, almost always, messy.

Mr. Agarwal is a renowned person,an Industrialist with wealth running in thousands of crores . Under his Leadership, his group of industries saw the zenith of its success. Though this Family was always engulfed in family disputes, this didn’t hamper the growth of their business empire.

In his old age, Mr. Agarwal took a bold decision to relinquish the entire 40% of his share in his group of companies in favor of his son Mr. Akash Agarwal.

This was a turning point in Mr. Agarwal’s life. He then filed a petition in the Court. Today, he has neither a car nor a driver. Mr. Agarwal now lives in a rented house. He had been deprived from the possession of his mansion too. He is now blaming his son for his present circumstances. He claims that two of his employees who handled his property and bank documents and personal files had gone missing. Access of any of such documents is no more possible.

The wise people say an intelligent person learns from the mistake of others. Let us peel the onion to get to the bud.

In this case, a very wealthy man relinquishes his rights to his son when he is still alive. What can be the reason for such an act? The reason can be many. A reasonable mind might think it is for the love of his son or for the faith in his son’s love and dedication for him or was it an act with a business move wherein he wanted to secure all his wealth from going to other hands by giving it to his younger son.

Whatever drove him to do this act, it resulted in great misery for him.

What was the reason for such misery? Again, the reasons could be many. The greed of his son for money superseded his love for his father or was the entire act of his father a previously plotted conspiracy or was it a bad influence on the son.

Though all of us are not as wealthy as Mr. Agarwal but surely possessions are no less dear and important to us. From the above facts, the following points cross our minds:-

1.      Gifting wealth to the next generation does not solve family dispute of previous generation;

2.      Gifting relinquishes all rights, title & interest of your property during your life time. That means after gifting you have no right over the property.

So, the ideal way to transfer such rights “THROUGH A WILL.”

Advantages of doing so through a Will-

1.      All your rights, title and interest over the property will be enjoyable during your life time. Such rights are transferred only after the demise of the Testator (maker of the Will).

2.      In a Will, you can still give your wealth to the person you desire just like the gift.

3.      Will has the option of depriving the legal heirs entitled to your wealth by giving valid reasons.

GIFT OR WILL – decide prudently.

Thanking You.

Wishing you a long & healthy life.

We celebrate your success in life.

Let’s add the awesomeness in our lives.

To know more, please visit www.dilsewill.com

Author: Legal Executive Officer at DiL SE WiLL

To know more, please contact us www.dilsewill.com

This blog is informative in nature and created for pro bono purpose, it is not a legal advice. For any legal assistance, please do contact us at www.dilsewill.com or call us 033 4006 9589.

Strangers can be your Angels too

Sometimes memory of a stranger cannot be erased from our mind in life long, one of them. Stranger Rahul  Verma, a soldier, by profession was one such person in my life.

On 25^th May, 2004, I reached Chandigarh by train at 6 a.m. but was oblivious about the upcoming happenings at Chandigarh. I visited there as a tourist.  In evening, I went to a beautiful garden which was heavily adorned and had a renowned Cafeteria situated at a stone throwing distance from my lodge. I took few photographs of the silent nature. In love with photography, I took candid shots of two people sitting at coffee shop. They were having their coffee. I offered them their photographs and at the same time we introduced ourselves. I noticed the change in their sullen faces as they came to know about my profession as a lawyer.

It seemed like a ray of hope for them. They started enquiring about my profession and my practice. On being satisfied with my credentials information and offered me a cup of coffee. Interested to know about the culture and I sat down with them but what came in my way was something different.

Mr. Rahul and his friend asked me “ Can you give us an advise?” I willingly agreed.

Mr. Rahul started like he had a small daughter whose name was Rashy. Thereafter he shared his personal details with me that yesterday he had received letter from his senior officer for joining the battle field and he had to go to there next week. He was worried for the future of her daughter.  Mr. Rahul had faced the worst phrase of life. Suddenly Mr. Rahul’s eyes were engulfed with tears followed by the past memories which he shared with me and said that he could not continue his studies due to financial crisis and he lost his parents when he was in class four. Even he failed to continue his higher studies though he had a dream to be a doctor. He was a brilliant student but his fate had decided something else for him.

Then, he called up her daughter….” Rashy…. Rashy (in a louder voice) please come here beti.. please come faster. I have come here with my daughter to see Mr. Arnab, my friend. My daughter lost her mother when she was 2 years old.”

Rashy came to me, leaving her playground and said “Hello ma’am, good evening.” Rashy was a sweet, innocent and intelligent girl which was clearly perceived by her appearance. Rashy then took out a bunch of flower from her portmanteau and offered the same to me. Mr. Rahul said “ I don’t want that my daughter suffers like me.. I will not let my heart wrenching story repeat in her life.”

That day I sat with those strangers for three hours. I missed few scheduled worth a watch places of the city but my heart felt happy that I did something which suited my profession well - gave them sound and correct advise. These three hours along with satisfaction also gave me new friends.

Within a week Rahul made hand written Will followed by my advise. He handed over the same to his best buddy(Mr. Arnab) before going to the battle field. Thereafter he informed me about his deeds.

Five years later….,   

   

Co-incidentally, I met Mr. Arnab in a shopping mall at Kolkata. On that day, I came to know that Mr. Rahul lost his life in that battle field but he took the responsibility of executing his Will and the responsibility of Rashy too.

Fifteen years later…………,

Once again I settled down my mind for going to a Chandigarh trip. I took the same lodge there from where I went to the same cafeteria which gave me the reminder of Rashy. For a while, I was being nostalgic followed by the memory of sweet Rashy. Few question were automatically shaking me…”How is  Rashy now? Why do I miss her so much!!! Is she in any trouble?

I didn’t have any answer to my questions as there was no one from whom I could get any information related to Rashy. I had been always bolstered by following Rashy’s memory…. a sweet girl with her curly brown hair and having big intelligent brown eyes.

Suddenly, a voice audible to me …“Good evening Madam,!!”  I looked back, a person wearing waiter’s uniform in black and white, offering me a cup of Coffee placed in a nicely decorated tray. Silent nature’s beauty had drawn my attention completely though many things had been changed which were noticeable in my eyes.

Suddenly, I felt everything was moving around me and I started sweating heavily which drenched my dress. Subconsciously, I was thinking “What is happening with me!!.. It is risky that I am alone here but my health…”

I was not able to recall any thing thereafter… I lost my sense instantly. Then I found myself in a doctor’s camp... I was informed by a nurse present over there that local people brought me here for my instant treatment. Then a sweet voice wishing me “Good Morning!!.. How are you feeling now?” I saw a sweet looking young lady whose face was much similar with Mr. Rahul’s face standing beside me, wearing a white apron and stethoscope was hanging around her neck. Then she checked my blood pressure and eyes. I was feeling that somewhere I had seen her,.. she might be known to me. I felt restless but could not recall that where I met her. 

I softly replied her with low voice “I am ok now”... 

 Then she moved on, she was busy for the treatment of wounded soldiers who were lying next to my bed. I waved my hand and call that young lady doctor, then asked her “may I know your name please..?”  Then she said with big smile “ Rashy Verma”. Few drop of tears were automatically coming out from my eyes and she wiped out those tears with her soft hand.  I accumulated more strength within me and asked that why she had chosen this profession and she answered that my father was a soldier who lost his life in the battle field. My father wanted to see me as a doctor as he had a dream to be doctor. Instantly, Rashy’s eyes were shining with tears  ...”So I chose this profession and am serving to these soldiers.” I asked her “ may I know your father’s name?”

Rashy replied “Sure… His name is late Mr. Rahul Verma. I lost him when I was 10 yrs. My uncle took care of me thereafter”

I was feeling so satisfied by seeing her and by the conversation I came to know that Mr. Arnab, said her the entire story. Even I was surprised to know that my name was also in her knowledge.  She was so thankful to me when I disclosed my name. Even She could easily recognize me. I talked to Mr. Arnab over phone and he said the entire story to me.  

Now, I am 62 years.. still that voice echoing in my mind when Rashy was saying her name to me and I say thanks to God that I was able to save Mr. Rahul’s dream by giving him a worthy suggestion. Mr. Rahul made a privileged will in favor of his daughter and appointed Mr. Arnab as guardian of her daughter. Rashy’s life was secured due to that reason and Mr. Rahul’s soul got relief.

This blog has been written with the intention to create awareness in the lives of many such Rahuls. This blog will be successful even if one Rashy gets a better future.

Thanking You.

DiL SE WiLL is wishing you a long and healthy life.

We celebrate your success in life.

Let’s add the awesomeness in our lives.

Author:  Shreya Nandi (Legal- executive officer at  DiL SE WiLL)

What are the most important things to know about estate planning?

Estate planning is a process of preparation/ plan through which we can club together our entire movable and immovable properties/assets which we desire to bequeath after our death.

The benefits you will receive by estate planning are as follows-

·         You may reduce taxable estate by making annual gift;

·         Make power of attorney for directing/managing other investment and assets;

·         Make or update plans like insurance/ other things;

·         Make limits of your estate taxes by creating trust accounts in favor of beneficiary;

·         You may create Will;

·         You may mention the name/names of executor who will oversee the terms of Will;

·         You may appoint guardian for living dependents;

·         You may make planning for funeral arrangements/ expenditures.

·         And many more….

 It is better to make Will in lieu of dying as an intestate. Most of the people at young age procrastinate estate planning for the myth that estate planning is not required at younger age and keep it aside exclusively for the older part of their lives. Estate Planning due to the thought process that it is required at later stage of our life and it is not a priority in their lives. In fact, old age also leads to delay in making will due to several health issues. In India the awareness of estate planning is less and for this reason young generation prefers to follow others instead of being wise with their decision.

State Estate taxes/ State Inheritance taxes can be avoided by transferring assets to legal heirs. Such taxes cannot be avoided completely but we can protect our heirs from giving huge amount of taxes.

It is a myth that common man does not need to do estate planning because only the elite class with huge properties needed. But, it is not so.

Estate Planning as earlier mentioned is one kind of transfer of a person’s wealth, asset and his/her personal belongings, insurance, pensions, real estates, cars, debts etc. In legal parlance, we can say that estate planning is a flow from of his own wealth to his loved ones to keep his family/ loved ones protected in future through an organized manner.

We all need to know why do we need estate planning. All these are exclusively only for those persons who are living extravagant lives. Do you really need to do estate planning?

The answer is yes…… Why?

Middle class families make their wealth with their hard earned money and with lot of effort. It is important that this accumulated wealth goes to the right person whom we desire to bequeath. In the absence of a Will this is distributed in accordance with the Indian Succession Act, 1925. Thus, it can also go to an undesired person.

List of things which you have to incorporate/include in estate planning are-

1.      Personal belongings;

2.      Debts;

3.      Savings;

4.      Wealth,

5.      Personal bank account;

6.      Car;

7.      Jewelers;

8.      Furniture;

9.      Arts;

10.  Insurances

11.  Real estates;

12.  Digital Assets.

13.  And many more…..

Why Estate Planning is important?

1.      We can stop our legal heirs from overpaying in taxes;

2.      Protect families with young children/ old parents;

3.      It eliminates family squabble/ messes when we will be no more;

4.      You can make sure that your business will continue smoothly in your absence;

5.      You can plan for incapacitated persons;

6.      Your property will go to beneficiaries.

7.      And many more….

Estate planning is also important for young generation, people who have limited wealth, unmarried people, people who have lot of business and children.

The modes of making estate planning are-

·         Will;

·         Trust;

·         Gift;

·         And many more….

On 1^st February,2017,Indian Finance Minister, Mr. Arun Jaitley, presented the Government of India’s annual financial statement for 2017-18, commonly referred to as the Union Budget. 

Here we can find that he shows us the way out where we need not to bear taxes on our wealth. He said that Gifts to charitable trusts and those under a Will to testamentary trusts, continue to be specifically exempt.

Please take all the proper information before making your Will…DiL SE WiLL is the pioneer in the field of Estate & Succession planning and it has buckled down seriously to give protection to your legacy. If you want to protect your legacy, please contact us at www.dilsewill.com

Thanking You.

DiL SE WiLL is wishing you a long and healthy life.

We celebrate your success in life.

Let’s add the awesomeness in our lives.

Author:  Shreya Nandi (Legal- executive officer of DiL SE WiLL)

The Rightful Place Of Your Pet

Mimi is a small 12 years old child and the only daughter of her parents.  Her most beloved best friend is her pet Lucy. At home, Lucy never leaves Mimi alone. They take their meal, bath etc together.

Mimi belongs to an affluent family. They have huge properties and they are very organized too. They have also made Will in favor of minor Mimi. They created a trust through their Will by keeping an important thing in their mind that this trust will maintain all the expenses of Mimi in future.

Mimi’s parents suddenly meet with an accident. They could not survive and were declared dead. She starts missing her mother in every step of her life. She starts missing the cuddles, mother’s love & the bed time stories.

Mimi’s future has been secured but she feels lonely in her life. Lucy plays a great role in this crucial period of Mimi’s life. Gradually Mimi’s life is getting engulfed with lot of love & joy from Lucy. She always apprehends and prays to God everyday “please God do not snatch away Lucy from my life as my parent.”

Lucy is a German Shepherd Dog who always tried to play the role of Mimi’s parent. Lucy’s body is covered with long black & brown fur. She has lucrative, bright black intelligent eyes and cold black nose which would nudge Mimi to wake her in morning. Lucy has fugitive nature thus she forces Mimi to go with her for morning walk. She usually waits at the door of the wash room whenever Mimi goes to wash room. Not only this, she helps in Mimi’s regular work. Lucy made everyone busy and impatient by her naughty behavior. In spite of having a family, Lucy gives more companionship and attention to Mimi. Since the life time of the parents of Mimi, Lucy became habituated to do these things and taking care of Mimi. Now Lucy is a 9 years old dog but she had been brought in this family when Lucy was only one week’s puppy. Within these nine years Lucy became a perfect and responsible family member in this family.

One day, suddenly, Lucy falls sick due to irregular vaccine course and other treatment/ care. The trust which has created by the parents of Mimi, is authorized to look after and manage the expenditure of Mimi only. Thus the trust is not authorized to bear the huge expenditure for maintaining Lucy. The said trust separates Lucy from Mimi according to the suggestion of family physician of Mimi. The family Doctor suspects that Mimi would get affected by the infection/ germs of Lucy. This separation has manifold effects on Mimi. She starts crying, skipping meals. She could not concentrate in her studies. Everyone around Mimi thinks she is missing her parents. But the truth is that she is missing her sole companion. This mental condition leads to serious psychological mental disorder.

One fine morning, the news of Lucy’s death comes to her knowledge through her servant “Rita Di”. Thereafter, she went into great trauma and decided to finish her life without her best friend and her parents. She feels as if she has no one of her own. One fine day, without informing anything to anybody, the 12 years old girl jumps from the terrace of the fourth floor building.

Though this case is an extreme of its kind the author here aims at spreading awareness. When pets are like our family members they too have a place in our Will.

DiL SE WiLL wants to secure the life of your loved ones. To know more, please contact us at www.dilsewill.com

Thanking You.

Wishing you a long & healthy life.

We celebrate your success in life.

Let’s add the awesomeness in our lives.

To know more, please visit www.dilsewill.com

Author: Legal Executive Officer at DiL SE WiLL

This blog is informative in nature and created for pro bono purpose, it is not a legal advice. For any legal assistance, please do contact us at www.dilsewill.com or call us 033 4006 9589.