Heard about HUF?: The trick rich Indians use to cut taxes without breaking rules

Produced by: Mohsin Shaikh

One Family, Two Tax Returns

With a Hindu Undivided Family (HUF), your household gets a second PAN—doubling exemptions, deductions, and tax-slab freedom. Yes, legally.

HUF = Extra ₹4 Lakh Free

Under the new regime, an HUF gets an additional ₹4 lakh basic exemption—on top of what each member already claims.

Double Deductions,  Same Family

Why stop at one 80C or 80D claim? A smart HUF setup lets you file both personally and through the family entity.

Split Income, Slash Tax

Move rental, investment, or business income to the HUF to keep everyone in lower tax brackets. Less tax, more savings, same rupee.

The Wealth Pool Trick

HUFs can own property, stocks, and businesses—creating a central investment hub taxed separately from any individual.

Gifts, No Strings Attached

Transfer wealth within family—tax-free. Gifts to the HUF are mostly exempt, making wealth movement simple and strategic.

Sell, Save, Reinvest

Just like individuals, HUFs enjoy capital gains exemptions. Sell that property, reinvest smartly, and skip the taxman.

Inheritance Made Easy

Forget fragmented wills. An HUF pools ancestral wealth, easing succession while maintaining asset unity across generations.

Fully Legal, Fully Smart

It’s not a loophole—it’s the law. The HUF is one of India’s most effective, legal tax planning tools, used by business families for decades.