Hi
An HUF is created & RS. 2 lacs is gifted to HUF in cash by mother of Karta. Will this be treated as income & will this be clubbed with Karta Income
Sir,
In case of HUF , members of HUF are treated as relative and gifts recieved from relative (member(s) of HUF) are exempt from tax in the the hands of HUF, but mother of Karta is not a relative as HUF consists of Father i.e. karta, sons and daughters. Hence the amount recieved Rs. 2L from mother of Karta is taxable in the hands of HUF.
CAclubindia
