Can I show my rental income in HUF account
Source: Livemint.com

The following article was first published in the Mint newspaper on 16th May, 2022. The same was written by our Private Client team at Cyril Amarchand Mangaldas, who frequently publish their comments and opinions in the Mint. The online version of the article can be found here.

I am the karta of a Hindu Undivided Family (HUF) firm. My coparceners are my wife and son. I am retired and only have rental income from a house inherited from my mother through her probated will. 

Can I show my rental income in my HUF bank account? And, as and when I sell that house, can I show the sale proceeds in the HUF account? For this, do I need to transfer the  house to HUF? If yes, then what is the procedure? Isn’t the property automatically treated as HUF property, as I am also the karta of the HUF? 

What process is required to be followed in case the property is to be bequeathed after the demise of the testator which is as per the registered Will in Delhi after the mutation has been done in the municipal records. It needs to be further clarified whether the process of probate is also to be followed in Delhi or if a succession certificate is sufficient and who would issue the same?

Continue Reading Can I show my rental income in HUF account?

Foreign Contributions Regulations in India

India’s diverse social fabric needs no introduction. In a developing country, ‘constructive’ philanthropy designed to cater to the fast-growing needs is particularly important. In a country with massive population such as ours, it’s often difficult for the government machinery to engineer a trickle down of every social welfare scheme. This is where Non-governmental organisations or associations (‘NGOs’) come in to play an important part. They work with the government and focus on their purpose, which can be religion, human rights, animal rights, poverty eradication, environment, etc. NGOs can be international, national, or regional and can adapt quickly and respond to the changing needs of the society faster than a government organisation which require executive and electoral approval for action.[1]

Continue Reading Foreign Contributions Regulations in India – Towards a Stricter Regime

Leaving on Jet Plane Key Legal Considerations for Business Owners Migrating Abroad

All my bags are packed, I’m ready to go…’

-John Denver

The opening line of John Denver’s iconic song ‘Leaving on a jet plane’ may seem prosaic at first glance, but it describes the single most important act before embarking on any journey – packing your bags! While packing for a vacation in Monaco or St. Tropez is fairly easy, ‘packing’ for an offshore migration is likely to parachute you into a regulatory and compliance maze.

Continue Reading Leaving on Jet Plane – Key Legal Considerations for Business Owners Migrating Abroad

gift deed
Source: Livemint.com

The following article was first published in the Mint newspaper on 23rd April, 2022. The same was written by our Private Client team at Cyril Amarchand Mangaldas, who frequently publish their comments and opinions in the Mint. The online version of the article can be found here.

I have a query regarding a gift deed. My father-in-law wants to gift his flat to my wife vide gift deed, but he stays abroad. Can he execute the gift deed in the Indian embassy over there?

The other option is he has already registered a power of attorney in his son’s name to sell the property, so can his son come to India and execute the gift deed?

– Name withheld on request

Continue Reading Can a gift deed be executed in India on behalf of someone who stays abroad?

How legal heirs can find out investments of their deceased kin
Source: Livemint.com

The Private Client team at Cyril Amarchand Mangaldas shares their comments and opinions in an article in the  following Q&A which was published by the Mint Newspaper on 20th April, 2022 and the online edition of the same can be found here.

I lost a friend a few days ago. I know that he had invested in stocks and mutual funds (MFs) but his family is unaware of this. What is the procedure by which his family can know about all the investments he had made prior to his death?

— Kartik Sharma

Continue Reading How legal heirs can find out investments of their deceased kin

Intestate

The recent Supreme Court (“SC”) judgment in the case of Arunachala Gounder vs. Ponnuswamy[1] is a significant one since it focusses on whether a sole daughter could inherit her father’s self-acquired property dying intestate, prior to the enactment of the Hindu Succession Act, 1956 (“Act”). It also delves into the order of succession after the death of the said daughter.

In this blog, we analyse the judgment and its impact on the property rights of Hindu women and widows under the Act.

Continue Reading A daughter’s right: Inheritance and devolution of her father’s self-acquired property

Succession Toolkit

The Private Client team at Cyril Amarchand Mangaldas shares their comments and opinions in an article, which was published by the Outlook Money on 1st April, 2022 and the online edition of the same can be found here.

Intestate succession planning laws in India are unfavourable for women. So, women must use the tools available and become the decision-makers in how their assets are transferred. The Covid pandemic has shown that life is fragile, and tragedy can strike any time. In the course of conversations with clients, we find that most women do not undertake succession planning, and even fewer understand the need for an estate plan. This is mainly due to lack of awareness, and because they usually tend to look to their husbands and/or other family members to deal with their assets. This needs to change, especially at a time when women are becoming wealth creators in their own right and are increasingly running large family businesses. Many women today are also inheriting valuable portions of the family business.

One can execute a Will just by signing it and having it attested by two witnesses. There is no requirement for having the Will mandatorily registered in India

Continue Reading Your Succession Toolkit

Intestate
Source: Livemint.com

The Private Client team at Cyril Amarchand Mangaldas shares their comments and opinions in an article in the  following Q&A which was published by the Mint Newspaper on 24th March, 2022 and the online edition of the same can be found here.

How will the property of a man who has died intestate and is survived by an elder brother having sons and a daughter, besides the sons of a predeceased elder sister,  be divided? Do the sons of the late sister have equal rights as those of the elder brother?

—Name withheld on request 

Continue Reading Who is the legal heir of a man dying intestate?

reverse mortgaged property
Source: Livemint.com

The Private Client team at Cyril Amarchand Mangaldas shares their comments and opinions in an article in the  following Q&A which was published by the Mint Newspaper on 12th March, 2022 and the online edition of the same can be found here.

One of my relatives has reverse mortgaged his house, he died recently. It is understood that there is a specific will insisted by the banker and got executed at the time of reverse mortgage, wherein it says, “the property will devolve on my wife with absolute rights” and so on. Are the legal heirs eligible to claim for the rights of the said property?

– Arun

Continue Reading Can legal heirs have claim in the reverse mortgaged property?

property rights
Source: Livemint.com

The Private Client team at Cyril Amarchand Mangaldas shares their comments and opinions in an article in the  following Q&A which was published by the Mint Newspaper on 9th March, 2022 and the online edition of the same can be found here.

My father had booked a flat in Mumbai many years ago but died before he could get possession. A year later, the builder handed over the flat to my mother, who currently lives there. The flat is still registered in my father’s name. What are the legalities involved in transferring the flat to her name. Also, should I have to give a NOC or power of attorney (POA) to my mother? 

— Name withheld on request

Continue Reading Should you execute PoA to relinquish property rights?