A Hindu Undivided Family or HUF for short can open a demat account to trade & invest in the markets. HUFs are treated as one entity when it comes to taxation, among other financial benefits. This means that all the members of a family can enjoy tax benefits with the demat account for HUF while trading and investing in stocks and mutual funds.

A family that is registered as a HUF, that is, a family that consists of a linearly undivided Hindu family, can open a HUF demat account. The HUF has its own documents like a PAN card and the head of the family, the Karta, is often tasked with managing the HUF’s finances.

Below is the list of documents required to open HUF Demat Account in India:

• HUF Pan Card
• Individual Pan Card of Karta
• Aadhar Card of Karta
• HUF Declaration
• Cancelled Cheque
• Address Proof of HUF (Latest Bank Account Statement)
• 6 Months Bank Account Statement for F&O Activation

In case of any further queries, you can connect on our customer care numbers +91 8655740959 or +91 8655740960 or email us at onboarding@dhan.co

By opening a demat account for HUF, you and your family can unlock various benefits. The first and foremost benefit is the fact that the entire family registered as a HUF is treated as a single entity.
More HUF demat account benefits are as follows:

• A HUF is treated as a single entity during taxation
• Individuals of the HUFs do not have to pay capital gains tax
• HUF taxation is similar to individual taxation in terms of tax slabs

A HUF demat account on Dhan allows you to enter the markets, trade and invest in various financial instruments, and invest in mutual funds. Apart from tax benefits, the HUF account will give you access to Dhan’s awesome features. Oh, and account opening is free!