06 July 2011
Can a family of people other than Hindu undivided family (Eg: Christian family, Muslim family etc) form a HUF business and run accordngly availing all the benefits provided by the Income Tax Act applicable to HUF.
06 July 2011
Income Tax does not provide any benefit to a person as the intention of the legislature has always remained to mark a taxable unit as a person and collect tax from it. * Other families can form an AOP or firm but the group in no way can be termed as a Hindu Undivided Family as the other families are not governed by Hindu Law. * "The word 'Hindu' preceding the words 'undivided family' signifies that the undivided family should be of those whom Hindu law applies (CWTv. Smt Champa Kumari Singhi & others, 83ITR 720(S.C.) .
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