HUF gift

Originally posted by : Sunil
	Dear Friends, I have been struggling to find an answer for the following but still not able to find any. I hope someone from you will give me your valuable advice I have an HUF with me as a Karta and my mother as a member. We are only two people in HUF. Recently I like to give a gift of Rs. 2 Lacs. from HUF fund to my mother and I asked my lawyer and he said I can only give a gift of Rs, 50000 per year from HUF to my mother as in HUF relationship is not defined and if I give a gift of more than Rs. 50000, it will attract the gift tax. On the ohter hand the other lawyer told me that I can give a gift of Rs. 2 Lacs. to my mother as she is a close relative and this gift will not not attract any gift tax. I hope some one can advise me here Thanks

1) HUF cant be formed with mother 

2) HUF can not gift exceeding limit, however care should be taken as HUF is joint asset and gifts sould be avoided always,

3) you can gift any amount to mother from your personal file, there is no bar. 

Earlier we had three members in HUF with my father as Karta,me as  coparcenar and mother as member. After the death of my father my lawyer asked me to contiune with HUF with me as a Karta.

Is this HUF is still valid as you wrote that HUF can not be formed with mother alone

yes but you will be also the member of huf as karta. so this will be valid.

Originally posted by : Sunil
	Earlier we had three members in HUF with my father as Karta,me as  coparcenar and mother as member. After the death of my father my lawyer asked me to contiune with HUF with me as a Karta. Is this HUF is still valid as you wrote that HUF can not be formed with mother alone

the name of your father would be in principal name ............

try to dissolve the same by paying the expenses like LIC / PPF etc from HUF funds, as at later stage u have to pay stamp duty on funds generated as the original founder is not alive. 

Originally posted by : U S Sharma
	the name of your father would be in principal name ............ try to dissolve the same by paying the expenses like LIC / PPF etc from HUF funds, as at later stage u have to pay stamp duty on funds generated as the original founder is not alive.

Can we dissolve the HUF? Do we need to pay stamp duty when we dissolve the HUF: We have one plot of land and bank FDs in the HUF

HUF has certain limitations, viz ..huf can not nominate, so imagine the situation after 20 years ..........

Can we dissolve the HUF? Do we need to pay stamp duty when we dissolve the HUF: We have one plot of land and bank FDs in the HUF

Originally posted by : U S Sharma
	1) HUF cant be formed with mother

Can existing HUF continue with son as Karta and Mother as Member after the death of father or it is no more HUF? How the proceeds in Bank can be released if there is no HUF left?