Under Indian law, a Hindu family’s property is either ancestral property or self-acquired property, and the two pass in different ways. Ancestral property gives children a share from birth, while self-acquired property belongs to its owner alone and can be sold or left by will freely. A UK-based legal heir who assumes the wrong category may claim a share that does not exist, or lose one that does. This post provides an overview of the difference between ancestral and self-acquired property for NRI and OCI families with property in India.
What is ancestral property in India?
Ancestral property is property a Hindu man inherited from his father, grandfather or great-grandfather. His children and grandchildren take a share in it at birth.
In legal terms, it is coparcenary property, and the family members who hold that birthright are coparceners. Each coparcener can ask for a partition without waiting for a parent to die. The rules apply to Hindu, Sikh, Jain and Buddhist families under the Hindu Succession Act 1956.
What is self-acquired property?
Self-acquired property belongs to its owner alone. Children have no share in it while the owner is alive.
Property is usually self-acquired where the owner bought it, received it as a gift, or inherited it after 1956. The owner can sell it, gift it or leave it by will to anyone. Without a will, it passes as set out in our guide to who inherits Indian property without a will.
When does inherited property become self-acquired?
Most property a son inherits from his father after 17 June 1956 is self-acquired in his hands. This is the point most families get wrong.
Section 8 of the Hindu Succession Act 1956 passes a man’s property to his heirs as individuals. The Supreme Court has held that the son takes it for himself. In practice, the date of the first death in the chain often decides the category. Property that came down through a death before 1956 may still be ancestral.
The Whytecroft Ford Indian Law Team can trace how a property came down through the family and identify its likely category. Call 0208 757 5751 or use the contact form.
Do daughters have the same rights in ancestral property?
Yes. Since 9 September 2005, a daughter is a coparcener by birth, with the same rights and liabilities as a son.
In Vineeta Sharma v Rakesh Sharma (2020), the Supreme Court held that the father did not need to be alive on that date. Sales, gifts, partitions and wills made before 20 December 2004 are not reopened.
Can ancestral property be sold or gifted?
Only in limited cases. The head of the family, known as the Karta, can sell ancestral property only for a legal necessity or for the benefit of the family.
The other coparceners can challenge a sale without that justification. For that reason, they usually join the sale or release their shares first.
Can ancestral property be left by will?
Only the person’s own share can be left by will, not the whole property. Self-acquired property can be left by will in full.
A father who leaves the whole of an ancestral property to one child does not defeat the other coparceners’ shares.
What happens to ancestral property when a coparcener dies?
Where a coparcener dies after 9 September 2005, their share passes under a will or to their heirs. It does not pass automatically to the surviving coparceners.
The heirs usually need a legal heir certificate or succession certificate and mutation of the property into their names.
How is ancestral property proved?
The person who says a property is ancestral has to prove it. A family living together does not, on its own, make the property joint family property.
The main evidence is the revenue record showing how the land passed, such as the jamabandi or fard in Punjab. Earlier partition deeds, purchase deeds and the dates of each death in the chain also matter.
Does it matter that the heir lives in the UK?
No. Living abroad does not remove a coparcener’s rights or an heir’s entitlement.
The practical difficulty is distance. A UK-based heir often acts through a Power of Attorney (POA) for Indian property. Heirs who cannot agree may need a partition of Indian property. Inherited farmland has its own limits on selling agricultural land in India as an NRI or OCI.
The Indian Law Team can review the family’s documents and prepare the POA or deed needed for the next step.
Frequently asked questions
Is there a time limit to claim a share in ancestral property?
Yes. Under Article 110 of the Limitation Act 1963, a person excluded from joint family property has 12 years to claim their share. Time runs from when they learn of the exclusion.
Can a grandson claim his grandfather’s self-acquired property?
Not while the grandfather is alive. Without a will, a grandson inherits only where his own parent has already died.
Can a wife claim her husband’s ancestral property?
She has no birthright, because she is not a coparcener in her husband’s family. She inherits his share as a Class I heir, or under his will.
Does a property gifted by a father to his son become ancestral?
Not usually. A gift or bequest from a father is generally self-acquired, unless the document shows the father intended it to be joint family property.
How Whytecroft Ford can help
Whether a property is ancestral or self-acquired decides who owns a share, who must sign a sale deed and what a will can achieve. A family that gets the category wrong can face a void sale, a disputed will or a share claim brought years later. The Whytecroft Ford Indian Law Team works with UK-based NRI and OCI families on inherited Indian property. The team reviews the revenue records and family documents and identifies the likely category.
To discuss your family’s Indian property with our team, call 0208 757 5751 or use the contact form.
Disclaimer: The material in this article is provided for guidance and general information only and is not intended to constitute legal or other professional advice upon which you should rely. In particular, the information should not be used as a substitute for a full and proper consultation with a suitably qualified professional. Whytecroft Ford advises UK-based clients on Indian law matters including Indian property work. Please do contact the Whytecroft Ford team if you require further advice.
