Gift of immovable property from father to son's huf

Tax queries 1885 views 2 replies

Sushil Jalan

1 Points Posted on 10 May 2017

Q1. Can Father gift immovable Property into his Son's HUF?

If Yes, what are the liabilities for the following...

1. Taxation for the Gift at the hands of Donor and Donee

2. Stamp Duty/Registration charges for the Gift deed for the immovable property (within Mumbai)

Q2. In the future, can the immovable property be gifted back from Son's HUF to iys member I.e. Son?

If Yes, what are the liabilities for the following...

1. Taxation for the Gift at the hands of Donor and Donee

2. Stamp Duty/Registration charges for the Gift deed for the immovable property (within Mumbai)

Kindly provide the insight and information for assisting in making an informed decision.

Appreciate your support!!!!

Replies (2)

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

211715 Points Posted on 10 May 2017

1. Yes, but taxable in the hands of Son's HUF, as father is not relative of Son's HUF

2. In future HUF cannot give gift, as HUf can accept gift but cannot gift anything, unless for family welfare!!

Studentsca

CA Practice

3577 Points Posted on 10 May 2017

Father can make a gift to Son's HUF but following would be the consequences Since Father is not a member of the Son's HUF gift given in excess of Rs. 50,000/- in a Financial Year would be entirely taxable in the hands of HUF. However if this gift is for the purpose of making an initial corpus for the HUF then gift upto Rs. 2,50,000/- can be given as even though entirely taxable it would be still within basic exemption limit. Making gift deed is not that important as gift exceeding Rs. 50,000/- would be considered as income anyway. Regarding the second gift that is by HUF to member completely agree with Dheeraj Sir.