Can karta and other members give gift to HUF by chq
Whats the tax implication, is there any limit
Nihir P Mehta (CA) (108 Points)
05 November 2009Can karta and other members give gift to HUF by chq
Whats the tax implication, is there any limit
Sunil
(Trader)
(2611 Points)
Replied 05 November 2009
There are two problems if you do this:-
Non of the co parceners in the HUF qualify to be relatives of the HUF as defined in the section 56. Relationship is only between the Individual and the specified persons and not between the HUF and the relatives of the individual. Therefore any aggregate receipt above 50000 to the HUF is Taxed as IFOS.
If the members gifts to the HUF, per section 64 the income from the gifted amount is taxed in the hands of the member gifting the amount. The only instance where HUF is not taxed is when it receives the funds on partitioning of HUF.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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