How to File ITR for HUF: Step-by-Step Guide

HUF files a completely separate income tax return from the Karta's personal return. It has its own PAN, its own login, and its own tax calculation. Here's exactly how to do it — including the one step most people get wrong.

Step 1: Pick the right ITR form

This is the most searched HUF question — and the most misunderstood. HUF cannot file ITR-1. That form is exclusively for salaried resident individuals. Using it for a HUF makes the return defective.

Use ITR-2

HUF has income from rent, interest, dividends, or capital gains — but no business or professional income. This covers most HUFs.

Use ITR-3

HUF runs a business or professional practice. Also use ITR-3 if the HUF is a partner in a firm.

Use ITR-4 (Sugam)

HUF has business income and opts for presumptive taxation under Section 44AD (traders) or 44ADA (professionals).

Never use ITR-1

Not applicable to HUF under any circumstances. Filing ITR-1 for a HUF is a defective return and will be rejected.

Step 2: Log in with the HUF PAN

Go to eportal.incometax.gov.in. Log in using the HUF's PAN — not the Karta's personal PAN. The HUF has its own user ID on the portal. If this is the first filing, the account may need to be activated by the Karta.

Who is the authorised signatory? The Karta signs everything on behalf of the HUF — return filing, verification, responses to notices. If the Karta is unable (e.g. incapacitated), any adult coparcener can sign instead.

Step 3: Fill the income — the right separation

Only income that genuinely belongs to the HUF goes in the HUF return. The split looks like this:

Income typeGoes in HUF return?
Rent from ancestral property owned by HUF✅ Yes
Interest on HUF bank account / FDs✅ Yes
Returns on HUF's mutual funds or stocks✅ Yes
Income from HUF's business✅ Yes
Karta's salary from employer❌ No — personal ITR only
Income from assets personally gifted to HUF (Sec 64(2))❌ No — clubbed to personal ITR
Freelance income of the Karta personally❌ No — personal ITR only

Mixing these up is what triggers notices. Assessing Officers are trained to spot salary or self-generated income being claimed as HUF income.

Step 4: Choose the tax regime

New regime is the default. To switch to the old regime (where 80C, 80D, and housing interest deductions are available), select it within the ITR form before submission. HUF with a business must file Form 10-IEA to opt out of the new regime — and this choice locks in for subsequent years unless the business income ceases.

Reminder: HUF has no Section 87A rebate in either regime. Don't let pre-filled data or a well-meaning CA accidentally claim the ₹60,000 rebate for the HUF — it will be disallowed in scrutiny. See Part 3 for the full explanation.

Step 5: Verify — Karta's credentials, not HUF's

After submission, the return must be verified within 30 days. This is where people get stuck: the HUF itself has no Aadhaar or bank account linked for e-verification. The Karta verifies using their own personal credentials:

  • Aadhaar OTP — Karta links their personal Aadhaar to the HUF's portal account for OTP-based verification (simplest method)
  • Net banking — via the Karta's personal net banking login (supported by most major banks)
  • DSC (Digital Signature Certificate) — required if the HUF's accounts are subject to tax audit

Due dates and audit rules

HUF typeFiling due date
No tax audit requiredJuly 31
Tax audit required (business turnover > ₹1Cr, or professionals > ₹50L)October 31
Transfer pricing casesNovember 30

The Karta's own ITR deadline is unaffected — they file their personal return separately on the same due dates applicable to them as an individual.

Advance tax applies to HUF too. If the HUF's total tax liability exceeds ₹10,000 in a year, it must pay advance tax in four instalments (June 15, September 15, December 15, March 15). Failure to pay advance tax attracts interest under Sections 234B and 234C.

FAQs

Which ITR form does a HUF file?
Not ITR-1 — that's for individuals only. Use ITR-2 for rent, interest, and capital gains income; ITR-3 for business income; ITR-4 for presumptive business income. The wrong form makes the return defective and it gets rejected.
Who verifies the HUF's income tax return?
The Karta verifies the HUF return using their own personal credentials — Aadhaar OTP, net banking, or DSC. The HUF PAN is used to log in and file, but e-verification goes through the Karta's personal identity.
What is the due date to file ITR for HUF?
July 31 for HUFs not subject to tax audit. October 31 if a tax audit is required (business turnover above ₹1 crore, or ₹50 lakh for professionals). The Karta's personal ITR has its own separate deadline.
Does filing a HUF ITR affect the Karta's personal ITR?
No — HUF ITR and the Karta's personal ITR are fully independent. The Karta files two returns: one in their own name, one as the authorised person for the HUF. Each has its own tax calculation, PAN, and login.
This article is for educational purposes only and does not constitute tax or legal advice. Consult a qualified CA before making decisions. Tax laws are subject to change.

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