We have an HUF the place my father was the Karta. My father handed away recently. I and my elder brother are the coparceners. If I and my brother are normally not ready to be karta of HUF, can our mother be appointed as Karta of the HUF? There is a property in establish of HUF. Can you suggest a technique to dissolve the HUF?
After dying of the Karta of an HUF, normally, the senior most coparcener turns into Karta of the HUF. Under the Hindu Law solely a coparcener might be turn into Karta of an HUF. Though your mother is a member of the HUF nonetheless she will’t be turn into Karta of the HUF as she won’t be a coparcener. Only the people who’re born or taken on adoption are dealt with as coparcener. In case you and your brother every are normally not ready to be appointed as Karta of the HUF after dying of your father, any foremost child of you or your brother can even be appointed as Karta of the HUF with consent of all the members.
As far as dissolution of the HUF is anxious, each you probably can promote the property and distribute the proceeds amongst all the eligible members and carry out the full partition of the HUF. In case you are not ready to advertise the property, you probably can partition the property amongst the eligible members to impression the full partition of the HUF. Please bear in mind that partial partition won’t be recognised beneath the income tax authorized tips, so you may should carry out partition/distribution of all the movable and immovable property. The distribution needn’t be equal and might be unequal if all the members agree. Once the full partition is carried out, that you should make an utility to your assessing officer to maneuver an order recording the precise reality of full partition having taken place.
(Balwant Jain is a tax and funding skilled and might be reached on [email protected] and @jainbalwant on his twitter cope with)
Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint.
Download The Mint News App to get Daily Market Updates.
More
Less
