Huf capital arrangement
This query is : Resolved
30 September 2012
Dear Sir,
Suppose a huf wants to start a business and in this regard it need a capital of Rs. 5 lacs. Then it is good to receive gift of Rs. 5 lacs from the members of huf or it is better to receive unsecured loan from its members at 0% interest.
Please advise me.
Suppose a huf wants to start a business and in this regard it need a capital of Rs. 5 lacs. Then it is good to receive gift of Rs. 5 lacs from the members of huf or it is better to receive unsecured loan from its members at 0% interest.
Please advise me.
30 September 2012
The gift by the members shall go to "COMMON HOTCHPOT" for HUF. In that case the HUF rules will start getting applied for this. Alternatively if you show it as unsecured loan, the members can claim the same from the HUF. From income tax point of view both has same effect.... NO TAX for this transaction in either case.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Post Office RD Interest
- Building and other construction workers welfare cess act 1996
- Bank Accounts in Balance Sheet for ITR 3
- ITR validation error - Balance sheet is not filled
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- Annual return of gst limit
- Eway bill for machinery reparing
- TDS ON CASH WITHDRAWALS...
- Form 10BD Filling
- Registration as Authorised Representative of minor
- Change the gender in the registration of icai
- Lift replacement entries in housing society
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
