Search Results For: HUF


QUERY: As per F. No. 4-2/2014 –NCM., G.O.I. Ministry of Minority Affairs, dated February 6, 2014, Jain Community are covered under section 2(c) of National Commission of Minority Act 1992 as minority. So, can Jain continue with HUF under the Income-tax Act?
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There is no restriction on Jains to be assessed under the status of “HUF” under the Direct Tax laws, even though Jain community has been declared as a minority community.

No separate definition of the expression HUF has been attempted in any of the Direct Tax laws because the term has a definite connotation under the Hindu Law.

QUERY: What is the Law laid down by Hon. Supreme Court in respect of impartible estate of HUF property?
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Section 6 of the Hindu Succession Act, 1956 as it stood before its substitution by the Hindu Succession (Amendment) Act, 2005 w. e. f. September 9, 2005 is reproduced as under:

QUERY: My wife expired in 2006, left certain gold ornaments & jewellery for my son, who is Indian Origin, U. S. Citizen. Please inform how much worth ornaments can be taken outside India?
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From the fact, it is clear that querist’s son is Indian origin, U. S. Citizen, who has inherited certain gold ornaments and jewellery from his mother.

As per sub-regulation (2) of regulation 4 of Foreign Exchange Management (Remittance of Assets) Regulations, 2000, a Non-Resident Indian (NRI) / Person of Indian Origin (PIO), may remit an amount,

QUERY: Mr. Champaklal seeks further advice from you on behalf of his clients.

(a) One of Mr. Champaklal’s clients is a financier and he has asked him whether section 194A would apply to Bill Discounting Charges paid by him to another financier. Mr. Champaklal seeks your advise in the matter

(b) The same financier client of Mr. Champaklal also wants to know whether the difference between price and face value of Commercial Paper is to be treated as interest or as discount. Mr. Champaklal seeks your advice in this matter also.

(c) Taking a cue from an exporter whose writ petition (in respect of 80HHC matter) had been handled by him. Mr. Champaklal has started the practice of levying interest in his Memo of Fees itself in respect of some of his regular clients who are regularly irregular in payment of his fees. His clients have enquired as to whether they would be liable to deduct tax at source u/s. 194A in respect of the interest charged by him.

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CBDT Cir.No. 65{F. No. 275/79/TTJ] dt. 2/9/71.

“Where the supplier of goods makes over the usance bill/hundi to his bank which discounts the same and credits the net amount to the supplier’s A/c. straightway without waiting for realization of the bill on due date,

QUERY: Nowadays, no action is taken on intimation for partition u/s. 171(1)? Can the assessee presume that his application has been accepted or would be make any difference?
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S. 171(3) of the Act mandates that on a claim being put forward under this section, the Assessing Officer shall hold an enquiry. Such enquiry shall be made as part of assessment proceedings. On completion of the enquiry

QUERY: As per S. 56(2)(vii)(b), when an individual or HUF receives, on or after 1.10.2009, any immovable property without consideration, the stamp duty value of which exceeds Rs. 50,000, the stamp duty value of such property is chargeable to tax u/s. 56(2)(vii)(b). Agricultural land {which is not capital asset u/s. 2(14)} is immovable property. Therefore, is stamp duty value of agricultural land received {which land is admittedly not a capital asset u/s 2(14)} without consideration chargeable under this clause? This question arises since 2nd proviso to S. 56(2)(vii) inter alia provides that property received from any relative is not covered by this clause. The term ‘property’ is defined in Explanation (d) to S. 56(2)(vii) to mean the following capital asset of the assessee, namely, (i) immovable property being land or building or both. Thus, property is defined to mean capital asset namely immovable property being land or building or both but 56(2)(vii)(b) does not use the word ‘property’ but directly makes a reference to immovable property. The question is whether the term ‘capital asset’ used in Explanation (d) should be understood as it is defined in S. 2(14) or should it be understood to mean something which is not stock-in-trade?
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Yes, stamp duty value of agricultural land received without consideration exceeding Rs. 50,000/- is chargeable u/s. 56(2)(vii) of the Act except property received from relatives. The explanation (d) to the section

QUERY: ‘X’ has taken one lakh rupees as a Cash Gift from his own brother’s son, whether taxable or not?
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Section 56(2)(vii) of the Income tax Act, 1961 reads as under:

“Where an individual or a Hindu Undivided Family receives, in any previous year, from any person or persons on or after

QUERY: What is the treatment of gifts received by HUF from its members or their relatives?
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U/s. 56(2)(vii) where an individual or HUF receives, in any previous year, from any person or persons on or after October 1, 2009, any sum of money without consideration the aggregate value which

QUERY: For the purpose of section 44AD, is the limit to be decided qua assessee or qua business?
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Qua both. The scheme is applicable to “an eligible assessee engaged in eligible business” The salient features of the new presumptive taxation scheme are as under:

a) The scheme is applicable to individuals, HUFs and partnership firms excluding limited liability partnership firms. It is also not be applicable to an assessee who is availing deduction under sections 10A,

QUERY: Mr. X a practicing Advocate who is subject to Tax Audit u/s. 44AB for the year ending March 31, 2008 having the following transactions during the financial year 2009-10

1. Constructed a house for self occupation & he is making payment to contractor Rs. 10,00,000/-.

2. Making payment to Architect for designing his house Rs. 1,00,000/-.

3. Borrowed funds from friends Rs. 10,00,000/- on which he wants to pay the interest.

Examine the applicability of TDS.
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1. Section 194(C) provides that no individual or HUF shall be liable to TDS on the sum credited or paid to the account of the contractor where such sum is credited or paid exclusively for personal purpose of such individual or any member of HUF.