An HUF or Hindu Undivided Family is defined under Hindu law as a family consisting of persons lineally descended from a common ancestor and their wives and unmarried daughters. The key aspects summarized are: - An HUF consists of a Karta (senior male member and manager), co-parceners (other adult males), and other female members. - The Karta has sole rights to manage HUF property and business and can enter into contracts binding all members. In some cases an unmarried daughter may become Karta. - HUF accounts require a unique PAN for the HUF and Karta along with signatures from all members declaring the Karta and members. The Karta

1. Presentation by
SUBODH

2. HUF or Hindu Undivided Family
is defined under the Hindu Law
as a family that consists of all
persons lineally descended
from a common ancestor,
including wives and unmarried
daughters.
What is
HUF

3. The legal business which
is carried by them
known as joint
Hindu family
business

4. HUF Consists of
Karta of a HUF is the senior most male member of the
family and in financial terms he can also be called
manager of the family
All male adults in the family are called Co-Parceners
Others Member:
all female members of the family are called Members

5. Karta
1.Karta is the seniormost male memberof the
family
2.Only the Karta has the right to manage the
property and business of the HUF.
3. Karta can enterinto contract on behalf of the
HUFand bind all the members to the extent of
theirshare in the property/business
4. If the coparceners so desire, all the coparceners
and Karta may authorize any one ormore adult

6. Can a female be the Karta?
The answer can't be No in the light of
the amendment in the HS Act in
2005.An unmarried daughter, in the
unfortunate event of her father
passing away, will become the Karta
of the HUF if she has no brother.

7. Restriction on themembership of
woman
Accounting to law
Mitakshara law ========= woman cannot
Dayabhag law ======== *
Hindu secession act 1956 ==== after death of her
husband

8. Documents required for opening
HUF account:-
HUF will have a unique PAN card; this PAN card along with the PAN of Karta
should be produced.
A declaration form will be provided where every member has to make a
signature stating the name of Karta and declare.
They are the only members of HUF.
Karta to have sole authority over HUF account
Every transaction on behalf of HUF account, made by each member of the
family is governed by Karta.
Residential proof of Karta
Identification proof of Karta

9. There are a few features of HUF account that makes itThere are a few features of HUF account that makes it
different from regular saving bank accounts.different from regular saving bank accounts.
•Every member of the family can deposit their incomeEvery member of the family can deposit their income
in the common corpusin the common corpus
•Single person’s authority while participation fromSingle person’s authority while participation from
entire familyentire family
•Tax benefits on deposits under various sectionsTax benefits on deposits under various sections
•Corpus can be divided only on agreement of everyCorpus can be divided only on agreement of every
coparcener of the familycoparcener of the family

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Documents used

11. Thank you