HUF creation including NRI persons
2 months ago
I want to create HUF, I am having NRI SON, two Gandsons( all US citizen) and a Daugher (Canadian PR). How to create HUF?. Is it possible to cerate one HUF me as Karta and another by my son as Karta?
A.Dear Client,
In a Hindu Undivided Family (HUF), the position of the Karta is crucial. While a HUF cannot have two Kartas simultaneously, the duty of management can be performed by another Coparcener in specific circumstances. A HUF can be formed with just two members, one of whom is a coparcener. However, for the entity to be taxed as an HUF, it should have at least two coparceners.
Despite being a separate legal entity, similar to a company or an individual, a HUF can open multiple bank accounts without any tax implications.
Upon the death of the Karta in a HUF, the general practice is for the senior most coparcener to assume the role of Karta. Under Hindu Law, only a coparcener has the eligibility to become the Karta of an HUF. This succession ensures the continuity of the HUF's management and affairs.
In a Hindu Undivided Family (HUF), the position of the Karta is crucial. While a HUF cannot have two Kartas simultaneously, the duty of management can be performed by another Coparcener in specific circumstances. A HUF can be formed with just two members, one of whom is a coparcener. However, for the entity to be taxed as an HUF, it should have at least two coparceners.
Despite being a separate legal entity, similar to a company or an individual, a HUF can open multiple bank accounts without any tax implications.
Upon the death of the Karta in a HUF, the general practice is for the senior most coparcener to assume the role of Karta. Under Hindu Law, only a coparcener has the eligibility to become the Karta of an HUF. This succession ensures the continuity of the HUF's management and affairs.
Helpful
Helpful
Share
A.Dear Client,
While a HUF cannot have two Kartas, the duty of management can be performed by another Coparcener in given circumstances. A HUF can be formed with just two members one of whom is a coparcener. But for an entity to be taxed as a HUF, it should have at least two coparceners. HUF like any other company or individual or partnership is a separate legal entity. Open as many accounts in the Bank as you wish in the name of HUF. There are no tax implications. After the death of the Karta of a HUF, generally, the senior most coparcener becomes the Karta of the HUF. Under Hindu Law, only a coparcener can become Karta of an HUF.
While a HUF cannot have two Kartas, the duty of management can be performed by another Coparcener in given circumstances. A HUF can be formed with just two members one of whom is a coparcener. But for an entity to be taxed as a HUF, it should have at least two coparceners. HUF like any other company or individual or partnership is a separate legal entity. Open as many accounts in the Bank as you wish in the name of HUF. There are no tax implications. After the death of the Karta of a HUF, generally, the senior most coparcener becomes the Karta of the HUF. Under Hindu Law, only a coparcener can become Karta of an HUF.
Helpful
Helpful
Share
Read Related Answers
Sapinda relationship
Dear Client,
Under the Hindu Marriage act marrying within your pinda ie Sa- Pinda is prohibited under the sec 5 of the Hindu Marriage Act for the reason that the biological offspring would be genetic...
Is any legal obligation for me to share the property within my brothers and sister
Dear Client,
All children of your parents have a right to equal share in the property regardless if it is a male or a female but only in the circumstance of a partition or will or when died intestate...
My parents trying to control my life they want to control me like papate.
Dear Sir/Madam
If you have attained age of majority then you may stay away from your parents with your independent income and intimate them by issuing a legal notice.
Money fraud done by brother
Dear Client,
In the given situation, when you are an independent working woman, nothing can prevent or restrict you from walking out of your home to look for the destiny of your choice. You have the...
Inquiry Regarding Maintainability of GWOP Case
Dear Madam
GWOP is to be filed where children physically resides or physically goes and attendance school otherwise it is not maintainable on the ground of territory
Read Blogs on Family
Family Lawyers
Find Lawyers by Location