Dear all,
Me(A) and my Mother(B) are partners in a partnership firm (not registered) running a business of plantations.
Both (A) and (B) have demands raised on them by the Income Tax for a particular year.
NOW:
We wish to protect the property first.
We have transferred our interests in partnership firm to 2 different individuals on 1st April 2011 (before the demands were raised in december, 2011), and going to file return in their names as partners of the firm.
We need to now get back the interest in partnership in our family again. I was thinking of creating an HUF in current date under me (A) and reviving my deceased father's HUF wherein my mother(B) and me would be there.
These two HUFs will supposedly hold 50:50 shares in a newly formed Pvt Ltd Co. in current date. This company will buy the partnership interests from the other partners and therefore the business comes to us again.
Is the process fine enough? If we do this, can our interests in the HUFs be attached by creditors such as ITdept for demands raised in our (A) and (B)'s PERSONAL FILES?? Or they cannot harm us in any manner being part of the HUFs??
Was also thinking of creating a family trust wherein the 2 HUFs are beneficieries and this trust holds the shares in the new company. POSSIBLE??
A quick response would be nice.
Thanks.
