| Question And Answer | |
|---|---|
| Subject: | HUF |
| Category: | Income-Tax |
| Querist: | bs |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | HUF, Partition |
| Date: | May 17, 2022 |
1] can partition of HUF be unequal /only in favour of 1 member ?
2] Can Karta’s wife claim rights in 2 HUF , viz, huf of father and huf of husband ?
3] IS order u/s 171 mandatory for partition of HUF ?
4] Is it possible to allot assets to coparceners individually instead of huf of each coparceners ?
5] How many generations Any HUF can continue ?
1. Yes, Partition of an HUF need not be equal. The largest share would be exempted from Stamp Duty.
2. The wife of the karta, can be a member of the HUF but not a coparcener of her husband’s HUF. A coparcener cannot ask for partition of the HUF. The wife of the karta can be a coparcener in her Father’s HUF but not a member. She would be entitled to a share in property in her father’s HUF. The 2005 Amendment Act conferred rights on female members to become coparceners and have the same rights as male members
3. Section 171 of the Income-tax Act, 1961 (Act) provides for specific provision for assessment after partition of the HUF. Therefore, the HUF should apply for an assessment to be made under section 171 of the Act.
4. Upon partition, the HUF’s property is distributed amongst coparceners. It is also possible for a coparcener to transfer his property to a relative in personal capacity.
5. There is no limit on how many generations an HUF can continue. The condition is that there must be a common ancestry amongst all the coparceners.