Gift of shares to HUF

This query is : Resolved 

17 September 2023 Hello! Experts,

In my HUF, my Wife & Son are coparceners.
Can my wife gift shares to HUF. If yes What will be the tax implications. And if the gifted shares are sold by HUF, will the capital gains on it be clubbed in wife’s income.

Thanks in advance

17 September 2023
Gifts received by HUF from its members are exempted from Income Tax under Section 56(2)(vii) of the act. As per Hindu law, HUF is inclusive of all family members from a common ancestor, hence the limit of 50,000/- does not apply on HUF, excluding cash gift of more than Rs 50,000/-.
No clubbing.

17 September 2023 Thanks a lot for your inputs Sir.
Also advice if HUF can gift to it's members and is there any limit.

17 September 2023 Yes, no limit.....

18 September 2023 Thanks!
Will that action of gifting be considered as partial partition of HUF.

18 September 2023 No, it's not partition.

31 October 2023 Hello! Experts

Can my father gift shares, valuing around 75 lakhs to my HUF.

Thanks in advance

31 October 2023 A gift of shares to family member as well as the HUF will be tax exempt as it would be classified as 'property received from a relative' which is specifically exempt on account of section 56 (2)(x) of the Income Tax Act, 1961.

01 November 2023 Thanks Sir!… will there be any clubbing of income provision for the giver of gifted shares

01 November 2023 Clubbing provisions applicable only in case of gift to wife/husband.

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