Sage-Tips

Can I transfer my salary to HUF?

You can transfer your income to HUF a/c , but you cannot escape the tax liability on that income. Means you can only transfer the tax paid ( after tax) income. Yes, after transferring or gifting to HUF whatever income it genrerates will be considered as HUF’s income and not yours.

Can we transfer individual shares to HUF?

In the case of Hindu Undivided Family (HUF), shares can be transferred in the name of the Karta of HUF and in the case of a Firm, shares can be transferred in the name of the Partner of the firm. Otherwise, the shares can be registered in the individual name of the Trustee(s).

Who can add money in HUF?

Hindus, Jains, Sikhs and Buddhists are allowed to create an HUF for tax benefits under wealth and income tax. The HUF includes all the family members who by birth, are eligible for an interest in the family property. The HUF is led by the oldest male member of the family, known as the Karta.

Can individual give loan to HUF?

You certainly can give an interest free loan to your HUF or take a loan from the HUF, but within limits, with regard to both the loan amount and its term.

Can HUF give gift to its members?

As per the provisions of the Act, gift from HUF to any member of the HUF is not exempt from taxable income. It is other way that the gift from member to the HUF is exempt from tax.

Can HUF take gift from members?

In case of HUF all its members are covered within the definition of specified relative. As per provisions of Section 64(2) where any member gifts any asset to the HUF of which he is a member, the income arising from such gifted asset is required to be clubbed with the income of the member who has gifted such asset.

Can Karta take gifts from HUF?

A Karta can gift any movable property of the HUF for the purposes like performing indispensable act of duty, relief from distress, for support of the family and for affection without consent of other coparceners.

How do I transfer HUF to individual?

Therefore a HUF property cannot be transferred to anyone’s name at the fancies and whims or based on ever changing necessities. You all can sit in a family meeting, discuss the issues and amicably sort out the issues which law cannot provide.

Can HUF gift to non members?

Gifts to/by HUF to/by Non-Members of HUF Rs 50,000/- and movable property without consideration with fair market value above Rs 50,000/- all shall be held taxable in the hands of recipient even if exchanged with HUF.

Can HUF account gift to its members?

Can I transfer my income to HUF after gifting it?

You can transfer your income to HUF a/c , but you cannot escape the tax liability on that income. Means you can only transfer the tax paid ( after tax) income. Yes, after transferring or gifting to HUF whatever income it genrerates will be considered as HUF’s income and not yours.

Is it possible to transfer individual property to a HUF?

Lawyers are available now to answer your questions. it is possible to transfer your individual property to a HUF.

Does TDs apply when transferring salary account to HUF account?

Obviously, money he will transfer from his salary account to HUF account will be tax paid money. ( TDS already deducted on salaries & if TDS is not deducted, he will be paying income tax while filing his income tax return.)

What is the limit for deposit of income tax paid in HUF?

If yes, what is the limit. (3) My understanding about this issue is, you can deposit upto Rs.300000 in to your HUF account and no tax liability will be there on HUF. (considering Rs.200000 tax exemption limit and Rs.100000 investment by HUF under sec 80C. But, what if coparceners and members deposit their income tax paid income in to HUF account.