HUF consists of all descendants of a common ancestor and includes wives and daughters of male descendants. The Hindu Undivided Family was recognized as a separate legal entity in 1917. There are numerous undivided families in India, and the incomes earned by such families are joint incomes as opposed to individual incomes. Because these are joint incomes rather than individual revenues, they cannot be taxed in the hands of a single individual and must therefore be taxed in the hands of the entire family. Because these are taxed in the hands of the family, the family has a different PAN Card from individual HUF members, who have a separate PAN Card. HUF is a very efficient and lawful technique to minimize taxes, as recommended by chartered accountants. Want to know more about the benefits and drawbacks of HUF?? Tune into the podcast of FunnTaxx where we simplify tax and finance related topics! P.S. - We are available on all platforms. Now you can also subscribe to our weekly newsletters and stay updated !!