customersuccess@taxmantra.com
+91 9230033070 
Toll Free: 
Contact Us
Hindu Undivided Family (HUF) is a separate entity as per the Income Tax Act, 1961 (“the Actâ€) although it is not a natural person but has an identity as an artificial person which is managed and controlled by its Karta & other Coparcener.
As the act specifies that gift received in excess of Rs. 50,000 from person other than relatives shall be treated as an Income of the assessee, the HUF being an artificial person, no other person can be a relative of HUF. So, gift received in excess of Rs. 50,000 from karta & other members are taxable in the hands of HUF under the head “income from other sourcesâ€.
- Gift received in the nature of sum of money:
If the aggregate sum of money received by HUF during the financial year from any person or persons exceeds Rs. 50,000 in aggregate, the whole of such sum shall be chargeable to income tax under the head ‘income from other sourcesâ€.
- Gift received in the nature of Immovable property:
If any immovable property is received by HUF without any consideration and the value of such property for stamp duty purpose exceeds Rs. 50,000, the value of the property for stamp duty purpose shall be taxable under the head “income from other sourcesâ€.
- Gift received in the nature of properties other than immovable property:
If any property other than immovable property is received by HUF without any consideration and the fair market value of such property exceeds Rs. 50,000, then the fair market value of such property shall be taxable under the head “income from other sourcesâ€.
Likewise, gift given by HUF to its members will be taxable in the hands of the recipient as per the provisions of section 56(2) of the act.
We at Taxmantra.com have the expertise to guide you in lowering your tax outgo and thus enhancing your total take away. We at Taxmantra.com provide full year support solving all your tax issues, in addition to filing of your return of income with excellent tax planning.
Please join us now in pursuit of simplifying individual taxation!
Alok Patnia
Founder and Director at Taxmantra.com