19 September 2009
Pls let me know whether a person who is an HUF asesse claim the tax benefit of Rs 1 lac in his file by paying his son`s LIC Premium ?The son is not a member of his father`s huf file. The son is having his own independant huf file with his wife as a member. In this case can the father claim the benefit if he pays the lic premium of his son? Kind Regards
19 September 2009
Dear friend, son is always a member of HUF of his father irrespective that the son is having his own HUF. Fathers HUF is a bigger HUF having son as his member and Son's HUF is a smaller HUF in your case. In my opinion Fathers HUF can claim the deduction on the LIP paid for his son.
CAclubindia
