The HUF income tax slab is the same table an individual below 60 uses, in either regime, but a Hindu undivided family gets no age based bands and no rebate under 87A. Take a family whose HUF earns ₹12 lakh: it owes ₹62,400 in the new regime, where an individual with the same taxable income pays nothing.
An HUF is a separate taxpayer with its own PAN and its own return. That separate identity is why families use one to hold ancestral property or a family business. Every figure on this page is for FY 2025-26 (AY 2026-27), and the 2025 Act keeps them for tax year 2026-27. For the general tables, see the income tax slab overview.
Quick facts
HUF full form
Hindu Undivided FamilyNew regime nil band
₹4,00,000Old regime nil band
₹2,50,000, whatever the karta's age87A rebate
Not availableStandard deduction
Not applicable; an HUF has no salaryReturn forms
ITR-2, ITR-3 or ITR-4
HUF income tax slab for FY 2025-26 under both regimes
| Income of the HUF | New regime | Old regime |
|---|---|---|
| ₹0 to ₹2,50,000 | 0% | 0% |
| ₹2,50,001 to ₹4,00,000 | 0% | 5% |
| ₹4,00,001 to ₹5,00,000 | 5% | 5% |
| ₹5,00,001 to ₹8,00,000 | 5% | 20% |
| ₹8,00,001 to ₹10,00,000 | 10% | 20% |
| ₹10,00,001 to ₹12,00,000 | 10% | 30% |
| ₹12,00,001 to ₹16,00,000 | 15% | 30% |
| ₹16,00,001 to ₹20,00,000 | 20% | 30% |
| ₹20,00,001 to ₹24,00,000 | 25% | 30% |
| Over ₹24,00,000 | 30% | 30% |
The new regime is the default for an HUF too, as it is for individuals. Surcharge applies from ₹50 lakh at the individual rates, and 4% cess is added. The same rates continue for an HUF in tax year 2026-27.
What is HUF in income tax
The HUF meaning in income tax is simple: a Hindu undivided family is a family of people descended from a common ancestor, with their wives and unmarried daughters, who hold property jointly. The law treats Jain, Sikh and Buddhist families the same way. The eldest member usually manages it as the karta. Coparceners, which since the Hindu Succession (Amendment) Act, 2005 include daughters, have a right to the property by birth.
The HUF gets its own PAN, with H as the fourth letter, its own bank account and its own return. Typical HUF income: rent from ancestral property, interest on HUF deposits, and profit from a family business.
Worked example: rent and interest in an HUF
The Sharma HUF earns ₹10,80,000 rent from an ancestral shop and ₹1,92,000 of FD interest in FY 2025-26.
- Rent less 30% standard deduction on house property: ₹7,56,000.
- Gross total income: ₹7,56,000 + ₹1,92,000 = ₹9,48,000.
- New regime: ₹20,000 + 10% of ₹1,48,000 (₹14,800) = ₹34,800. No rebate. With cess: ₹36,192.
- Old regime, with ₹1,50,000 of 80C (life cover on a member and PPF in the HUF's name): taxable ₹7,98,000. Tax ₹12,500 + 20% of ₹2,98,000 (₹59,600) = ₹72,100. Cess takes it to ₹74,984.
For this family the default regime costs far less. An individual with the same ₹9,48,000 would pay nil, thanks to the rebate.
Deductions and limits for an HUF
| Item | Position for an HUF |
|---|---|
| 80C (old regime) | Up to ₹1,50,000 for premiums and investments for members |
| 80D (old regime) | Health cover for members |
| Standard deduction on salary | Not applicable |
| 87A rebate | Not available in either regime |
| Presumptive tax under 44AD | Available for an HUF business |
| Senior citizen limits | Not available |
Income from property that a member puts into the HUF without consideration is taxed in that member's hands under the clubbing rules, so gifting your own savings to your HUF does not split income.
Filing the HUF return
An HUF cannot use ITR-1. It files ITR-2 when there is no business income, ITR-3 with business income, or ITR-4 under presumptive taxation. The karta verifies the return. When no audit is needed, the due date for AY 2026-27 is 31 July for ITR-2 and 31 August for ITR-3 or ITR-4. File on the e-filing portal under the HUF's PAN. See which ITR form for the full list.
HUF tax mistakes
| Error | Correction |
|---|---|
| Assuming ₹12 lakh is tax free for the HUF | No rebate; tax starts above ₹4 lakh in the new regime |
| Using the karta's PAN for HUF income | Use the HUF's own PAN |
| Gifting a member's money to the HUF to save tax | Income on it is clubbed back to the member |
| Claiming senior citizen limits because the karta is 70 | The HUF is not a senior citizen |
This is a general guide to how HUFs are taxed. Family structures and property rights vary, so speak to a chartered accountant and check the department's portal before you make decisions.
Sources we checked
- Income-tax Act, 1961, section 2(31)
- Income-tax Act, 1961, section 115BAC
- Income-tax Act, 1961, section 64(2)
- Finance Act, 2025, First Schedule
Frequently asked questions
What is the HUF full form in income tax?
Hindu Undivided Family. It is taxed as a separate person, with its own PAN and return, apart from its members.
Is the HUF tax slab in the new regime the same as for individuals?
Yes, the rates are the same seven bands, starting with nil up to ₹4 lakh. The difference is that an HUF cannot claim the 87A rebate, so it pays tax on income between ₹4 lakh and ₹12 lakh.
What is the HUF tax slab for AY 2026-27?
AY 2026-27 covers FY 2025-26 income. The new regime has seven bands up to 30% above ₹24 lakh; the old regime has nil up to ₹2.5 lakh, then 5%, 20% and 30%. Cess of 4% is added.
Can an HUF choose the old regime?
Yes. Without business income, the karta selects it in the return, which must go in on time. With business income, file Form 10-IEA in time to leave the new regime.