Income Tax : Distribution of assets on total or partial partition of an HUF is not regarded as a transfer under the Income-tax Act. The key tak...
Income Tax : This guide explains how a Hindu Undivided Family is taxed based on its residential status and the status of its Karta. It highligh...
Income Tax : The 2005 amendment granted daughters equal coparcenary rights in HUF property, including inheritance and partition rights. However...
Corporate Law : Courts recognize oral family settlements if genuine and voluntary. However, lack of evidence or misuse for tax purposes can lead t...
Income Tax : Income transferred without transferring the underlying asset remains taxable in the hands of the transferor. The provisions ensure...
Corporate Law : The Government reaffirmed that HUFs are assessable units solely for income tax purposes and lack corporate status. They cannot col...
Income Tax : Government addresses Supreme Court judgment on tax exemptions for clergy and its implications on Hindu Undivided Families (HUFs) u...
Income Tax : In a move expected to make family settlements and transfer of shares more taxing, the government plans to tighten anti-abuse provi...
Income Tax : From now on, when you get a gift in kind, valued at more than Rs. 50,000, from your parents or other relatives, make sure you have...
Income Tax : The Direct Taxes Code proposes to substantially raise the threshold limit for levy of wealth tax to Rs 50 crore from Rs 30 lakh, a...
Income Tax : ITAT Delhi's decision regarding applicability of Section 56(2)(vii)(b) to companies before April 1, 2017 in case of Rhythm Polymer...
Income Tax : ITAT Mumbai rules in favour of Anant Singhania HUF, allowing TDS credit for sale of housing property. The landmark decision provid...
Income Tax : Ishwarbhai Madhavlal Patel-HUF Vs ITO (ITAT Ahmedabad) In the present case, the Karta of HUF having expired in the year 2021 itsel...
Income Tax : S.K. Agarwal (HUF) Vs ITO (ITAT Delhi) It is an admitted fact that during the AY 2015-16, the assessee HUF sold a plot of land and...
Corporate Law : Rajeshwari Vs Bhunu Ram (Chhattisgarh High Court) Section 20 of the Hindu Adoptions and Maintenance Act, 1956 speaks about the mai...
Finance : an account opened on behalf of a Hindu Undivided Family prior to the 13th day of May, 2005, shall be closed after expiry of fiftee...
Income Tax : The Income Tax Act 1961 (the Act) has been amended with effect from 1st October 2009 to provide that any gift-in-kind, being an im...
Distribution of assets on total or partial partition of an HUF is not regarded as a transfer under the Income-tax Act. The key takeaway is that neither capital gains tax nor gift tax generally arises on such partition.
This guide explains how a Hindu Undivided Family is taxed based on its residential status and the status of its Karta. It highlights the scope of taxation for resident and non-resident HUFs under the Income-tax Act.
The 2005 amendment granted daughters equal coparcenary rights in HUF property, including inheritance and partition rights. However, their children do not acquire coparcenary status by birth, creating a key distinction from sons.
Courts recognize oral family settlements if genuine and voluntary. However, lack of evidence or misuse for tax purposes can lead to rejection and legal complications.
Income transferred without transferring the underlying asset remains taxable in the hands of the transferor. The provisions ensure that tax liability cannot be avoided through indirect income transfers.
HUF allows families to create a separate tax entity with its own PAN and ITR, enabling income splitting and slab-wise benefits. This reduces overall tax liability when income is distributed lawfully.
The Income-tax Act 2025 introduces the new tax regime as the default taxation method for individuals and certain entities. Taxpayers may opt out while filing returns if they prefer the traditional regime.
The Government reaffirmed that HUFs are assessable units solely for income tax purposes and lack corporate status. They cannot collect public money or operate as NBFCs or chit funds.
This explains how an HUF is recognised as a separate taxable entity and how it is taxed. The key takeaway is that HUF remains a lawful and effective tax planning structure when used correctly.
Comparative analysis of Hindu (HSA, 2005 Amendment) and Muslim (Faraid) laws on inheritance, succession, and maintenance, detailing structural differences, judicial impacts, and practical implications.
