| Question And Answer | |
|---|---|
| Subject: | Status of HUF on Death of Karta having 2 sons as member (Wife of Karta also expired) |
| Category: | General Law, Income-Tax |
| Querist: | Vaibhav Joshi |
| Answered by: | Research Team |
| Tags: | HUF, Karta, two HUF |
| Date: | November 20, 2021 |
What is status of HUF on death of it’s Karta. The HUF was having 5 members 1. Karta 2. his Wife 3. Elder son 4. Younger Son 5. Younger Daughter. Wife of Karta is also expired & both sons are married & are karta of their own HUF. Whether elder son can become karta of HUF of his father, even though he is karta of his own HUF.
Any ancestral property received on death or partition would be HUF property . Refer CIT v. Nanndlal Agarwal ( 1966 ) 59 ITR 758 ( SC ) . In Adiveppa & Ors. v. Bhimappa & Anr. CIVIL APPEAL No. 11220 OF 2017 SUPREME COURT (www.itatonline.org) the Court held that ancestral property deemed to be HUF property .
Elder son can became karka of his bigger HUF there is no bar , The family can have more than one HUF . Section 171(9 ) prohibits creation of multiple HUF , however on the facts it is by operation of law hence elder son can continue to be Karta of two HUF .
Sorry
But Section 171(9 ) nowhere prohibits creation of multiple HUF.
It puts only an embargo on “Recognition of Partial Partition of an HUF hitherto Assessed as ‘Undivided’, on or before the specified Date, i.e. 31.12.1978”