Hindu Undivided Family

HUF, a way to save Income Tax

1. What is a HUF?

HUF means Hindu Undivided Family. You can save taxes by creating a family unit and pooling in assets to form an HUF. HUF is taxed separately from its members. A Hindu family can come together and form an HUF. Buddhists, Jains, and Sikhs can also form an HUF. HUF has its own PAN and files tax returns independent of its members.

2. Tax implications of forming a HUF

How to save tax by forming an HUF?