Hindu undivided family registration in India
A HUF is exclusive to Hindus. For this reason, people who identify as Jain, Buddhist, or Sikh are also considered Hindu for this purpose, and as a result, they are eligible to form their own HUF. Therefore, people who are not included in the wider definition of a Hindu, such as Christians, Jews, Muslims, and Zoroastrians, are not eligible to hold a Hindu certificate. The coparceners and HUF members are all those who are born into the family and share a common male ancestor. Anyone who marries into the family becomes a member of the HUF rather than a coparcener.
The Hindu Undivided Family (HUF) is a legal body that, like an individual, has been granted specific exemptions. However, it’s necessary to have a HUF registration to take advantage of some perks. Now, let’s take a closer look at the paperwork needed for a Hindu undivided family registration.
HUF Registration – Documents Required
The following is the list of documents required for HUF registration.
- Draft a HUF Deed:
The first step in the procedure is to draft a written HUF Deed on stamp paper. Names of the HUF’s coparceners (members), Karta (head), and other pertinent information, including the type of business, must all be specified in the deed.
- Apply for a HUF PAN card
In India, HUF is regarded as a distinct entity for income tax purposes. For tax purposes, a separate PAN card is required. The assessee must complete Form 49A to apply for a PAN card. A copy of the HUF on a PAN card, sealed and signed. If the PAN is an ancestor’s PAN card, submit an extra declaration form (PDF) bearing the HUF seal and signature.
- Open a HUF bank account
In India, HUF is regarded as a distinct entity for income tax purposes. For capital generation and tax purposes, separate bank accounts are required. The following documents can be used a a bank proof- A personalized bank statement, a bank passbook copy with the account number, MICR, and IFSC code prominently displayed, and a forged check with the HUF name printed on it.
Other documents required are –
- The HUF account’s passbook or bank statement for the last six months.
- P&L audited for the most recent year.
- Receipt of most recent year’s Income Tax Return (ITR).
- a net-worth certification from a chartered accountant that includes the UDIN number.
- The HUF’s DP holding statement.
- Attach a hard copy of an additional self-declaration form (PDF) if Karta is a female together with the aforementioned paperwork.
- A notarized copy of the death certificate bearing the HUF seal and signature is required if the current Karta is opening the HUF account following the passing of the prior Karta.
Get your HUF registration done easily with EAZYBAHI
The HUF is acknowledged under the Income Tax Act as a separate assessable or taxable entity. Because of this, HUFs are prone to all taxes under the IT Act, regardless of the income and tax obligations of its members. Under the Income Tax Act, a separate Income Tax Return is submitted for HUF. Thus, if you wish to get your HUF registration done, get in touch with EazyBahi. We are your one-stop solution for your all business needs, from compliance to registration, incorporation, and more. Call us and schedule an appointment with us to learn more about our offerings.