More Information Regarding HUF Account

This query is : Resolved

Rajesh (Querist)
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11 January 2008 I want to know that whether I can create the HUF Account
Status of our family
My Father having Three Sons. My Father is already having HUF account. I am the second son. I am also married and having a son. So can i create a HUF account having my wife and son (minor 3ys age) OR On what circumstances Can i create HUF Account. I met two persons.
One says you cannot open a HUF account as your father has an HUF account opened.
Other Says that As you are married and having a son you can open a HUF account.

Please Guide Me

Regards
Rajesh Nagda
(rajesh.nagda@gmail.com)

CA Hemant T Dewani

CA Hemant T Dewani (Expert)
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11 January 2008 you will create your owned huf as you first crate ahuf ded on stamp paper and open a bank account in the name of huf and apply for pan card your fathers huf
is different from your huf, both status are different in the i tax act you will take a gift from any on up to toatl rs.50
thousad otherwise it is taxable u/s 56(2)
(vi) of the same act

Rajesh

Rajesh (Querist)
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12 January 2008 First Of all thanks for responding.

So you say that one can open HUF account even though his father has an HUF account.

I already have applied for HUF PAN No and have received the PAN no. Also I have created the rubber stamp of KARTA.

Now I have two questions

a) I want to prepare the ded on stamp paper. so is there any fixed format of it and what amount (Rs100 or Rs200) of stamp paper we have to prepare the ded.

b) What all trasaction normally happen in HUF account. Like receiving of interest. As it is an HUF account so in my bank whether i have to open an saving a/c or current a/c
in my name eg Rajesh K Nagda(HUF). Also only i know is I can not take professional charges in HUF a/c.

Please Guide me with some more information

Regards
Rajesh K Nagda
(rajesh.nagda@gmail.com)

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sivasankar

sivasankar (Expert)
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26 January 2008 Hi,
You can very well create a HUF in your name.
Tell any member of your family or your wife's family (the donor should not be the member of your HUF)to gift money or property to your HUF.That gift should be in written format and in stamp paper.Just for creation of HUF there is no need to prepare a deed.That is the foundation of your HUF.The income from such gift will be taxed in the hands of the HUF.