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Residential Status of Hindu Undivided Family (HUF)

HUF is a short form of Hindu Undivided Family. HUF is under in categories of persons under income tax act. The main motive to create HUF is taxed separately from its members. A Hindu family comes together and forms a HUF. HUF is not only for Hindu, even the Jain, Buddhist, Sikh can also form a HUF. A HUF is taxed separately, therefore deductions under section 80 and exemption allowed under the tax law can claim separately. So before calculating tax of HUF, the most important step is to know the residential status of HUF. Residential Status of HUF       The residential status of persons other than the individual is based on the place. The HUF is said to be resident if the control and management of its affairs are wholly or partly in India. A HUF is said to be resident  If the control and management of its affairs are situated wholly or partly in India. A HUF is said to be Non-Resident If the control and management of its affairs are situated wholly outside of India. Res

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