Huf related questions
This query is : Resolved
12 September 2012
Hello, Assuming Amitabh and Abhishek and father and sons respectively. And they have their own HUFs where they're karta.
1) a) Amitabh makes a gift of Rs.15 lac through cheque to Amitabh HUF. Now will this gift be taxed in hands of HUF under Sec 56(2)?
b) Amitabh HUF invests these funds in Fixed Deposit and Earns Rs.140000 as interest during the year. In whose hands will this income be taxed? Will it be clubbed in Amitabh HUF's hands?
2) Amitabh also makes a gift to Abhishek HUF(whose karta is Abhishek and Amitah is not the memer of the HUF) to the extent of Rs.10 lacs. Will this gift be taxed in Abhishek HUF's hands?.
1) a) Amitabh makes a gift of Rs.15 lac through cheque to Amitabh HUF. Now will this gift be taxed in hands of HUF under Sec 56(2)?
b) Amitabh HUF invests these funds in Fixed Deposit and Earns Rs.140000 as interest during the year. In whose hands will this income be taxed? Will it be clubbed in Amitabh HUF's hands?
2) Amitabh also makes a gift to Abhishek HUF(whose karta is Abhishek and Amitah is not the memer of the HUF) to the extent of Rs.10 lacs. Will this gift be taxed in Abhishek HUF's hands?.
13 September 2012
Reply to query
1. No, this gift will not be taxed in the hands of HUF.
2. Interest earned on such deposits will be taxable only in the hands of HUF.
3. not taxable in the hands of HUF.
1. No, this gift will not be taxed in the hands of HUF.
2. Interest earned on such deposits will be taxable only in the hands of HUF.
3. not taxable in the hands of HUF.
13 September 2012
1. No
2. It will clubbed in the hands oh Amitabh. Sec. 64(2)
3. gift will be taxable in the hands of Abhishek(HUF) as amitabh is not relative. (For huf relative is its member.)
2. It will clubbed in the hands oh Amitabh. Sec. 64(2)
3. gift will be taxable in the hands of Abhishek(HUF) as amitabh is not relative. (For huf relative is its member.)
13 September 2012
1. No
2. It will clubbed in the hands oh Amitabh. Sec. 64(2)
3. gift will be taxable in the hands of Abhishek(HUF) as amitabh is not relative. (For huf relative is its member.)
2. It will clubbed in the hands oh Amitabh. Sec. 64(2)
3. gift will be taxable in the hands of Abhishek(HUF) as amitabh is not relative. (For huf relative is its member.)
13 September 2012
Thanks but I'm getting contradictory replies from both experts!!
1) Why will this gift not be taxed? Is there any section/provision in the Income Tax Act which exempts this?
2) One expert says it'll be clubbed u/s 64(2) whereas other says it'll not be clubbed. Please elaborate!
3) Again contradicting answers in this case. Please elaborate!
1) Why will this gift not be taxed? Is there any section/provision in the Income Tax Act which exempts this?
2) One expert says it'll be clubbed u/s 64(2) whereas other says it'll not be clubbed. Please elaborate!
3) Again contradicting answers in this case. Please elaborate!
19 September 2012
Vide amendment to sect. 56(2)in clause (vii) in explanation "in case of HUF, any member thereof" is included in term of relative w.e.f. 1st Oct. 2009, retrospectively.
1(a) Amitabh a member of Amitabh HUF is relative as per amendment, therefore gift of Rs. 15 lac will not be taxable in hand of Amitabh HUF u/s.56(2).
1(b). Interest earned by HUF will be clubbed in hand of ind. Amitabh as per sect. 64(2).
2. Gift will be taxable in hand of Abhishek HUF as gift is not from relative, being Amitabh is not member of donee HUF.
Hope, this will satisfy.
09850350854.
1(a) Amitabh a member of Amitabh HUF is relative as per amendment, therefore gift of Rs. 15 lac will not be taxable in hand of Amitabh HUF u/s.56(2).
1(b). Interest earned by HUF will be clubbed in hand of ind. Amitabh as per sect. 64(2).
2. Gift will be taxable in hand of Abhishek HUF as gift is not from relative, being Amitabh is not member of donee HUF.
Hope, this will satisfy.
09850350854.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- REGARDING GST ON COMMERICIAL PROPERTY
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- GST on export of services and Input Credit
- TDS U/S. 194NF
- ITC temporary reversal and reclaim
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- Should I report my US salary for January, February, March in Schedule FA?
- Can a partnership firm become partner in a LLP ?
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- TDS on purchase of value vouchers for employees ?
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
Trending Online Classes
CAclubindia
