Can you please send me about the income a karta can earn and account for under HUF and can two HUF can be made under a same family where there are two male member i.e one is father and other is son of age 20 years.Also can a HUF can do business in the name of HUF.
Two HUF can be created in a family. However in the given case according to your information, father and mother with a son of 20 years constitute a HUF. In this fold it is not possible to have two HUFs. If the son is also married, another HUF can be created,either by effecting a partition of the exising HUF or by obtaining a loan for the smaller HUF from the other HUF and can create a new entity. HUF can do business in any lawful manner with its capital and other inputs. There is no bar.
28 November 2010
hai nimesh you can create 2 HUFS in same famaly but son should be married then he can form another HUF and any business can be done in the name of HUF by obtaining PAN for that HUF. any share from HUF is not taxable in the hands of individual
CAclubindia
