How to open HUF Bank Account

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Last updated on September 18th, 2022 at 12:38 pm

How to open HUF Bank Account

As you all know Hindu Undivided Family is considered as a separate person under the Income Tax Act.  HUF cannot use the bank account of its members (Karta and co-parceners)  for transacting any business in its name. HUF is not a real person who can sign for itself so a rubber stamp in the name of HUF with the signing authority of Karta is a must-have.

Once a permanent account number is allotted to HUF, then the step forward would be to make a rubber stamp and open a bank account.

Learn about the taxability of Income of HUF

Format of affidavit for HUF PAN CARD application

Rubber stamp

A rectangular shape rubber stamp needs to be made. It is a mandatory requirement for HUF to have a rubber stamp before entering into any transactions on behalf of HUF.

Note: As per the RBI circular, round stamps are not allowed/accepted for HUFs.

Specimen for a rubber stamp for HUF

Bank Account

Opening a bank account in the name of HUF is a must. HUF can open a bank account in a private or nationalized/public sector bank.  There is no restriction on what type of bank account a HUF can open and operate. HUF can open either a savings account or a current account. Apart from these, HUF can also open a Demat account and a  public provident fund account, etc.

Details/documents required for opening a HUF bank account

All the documents shall be duly stamped and self-attested  for opening a bank account

⇒ A copy of the PAN card in the name of HUF

⇒ A copy of the PAN card of Karta/authorized signatory

⇒ Passport size photographs of the Karta/authorized signatory

⇒ Proof of Identity of the Karta/authorized signatory (e.g. PAN, Passport, Aadhar, driving license, voter’s ID card, etc) [ It is mandatory to link the Aadhaar of Karta with PAN of HUF]

⇒ Proof of address of the Karta/authorized signatory (e.g. Passport, Aadhar, driving license, voter’s ID card, electricity bill, etc)

⇒ Details such as the mobile number/phone number/ e-mail address of the Karta/authorized signatory are taken.

⇒ A declaration that states that Karta/authorized signatory will open and operate the bank account. This declaration will be signed by Karta and two or more major co-parceners of HUF. Generally, this declaration is included in the account opening form only by the banks.

The documentary requirements for opening a bank account may differ from bank to bank. But for most banks, the above list of documents should suffice the purpose.

Note: In most cases, banks do not permit any nomination to be added to a bank account of a HUF. Hence, it is advisable to have more than one signatory for operating the bank account.


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CA Ankita Khetan
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Disclaimer: The above content is for general info purpose only and does not constitute professional advice. The author/ website will not be liable for any inaccurate / incomplete information and any reliance you place on the content is strictly at your risk.

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  1. Madam,
    All information is Good and Great.
    Please send more details for forming HUF

  2. Whose name can i open HUF bank account? For example if Karta name is Harish Kumar and in PAN card it is Harish Kumar HUF. What name should be taken for bank account Harish Kumar or Harish Kumar HUF?

  3. An opening a saving bank account of HUF , a/c opening form signed by karta or whole members of HUF.

  4. Hi Ankita,
    Thanks for the informative article. I have few queries and would be grateful if you could reply.
    Is a HUF PAN mandatory to open a HUF bank account?
    The point where you mentioned declaration form, can only one co-parcener sign at the the time of opening bank account or do we have to have 2 or more co-parceners?
    Can we add co-parceners to the declaration form and to an HUF bank account after HUF bank account is opened?

    • HUF PAN is definitely required to open a HUF bank account. A bank account can be opened either in the name of an individual or a legally recognized person under Income Tax Act.

      The requirement for providing a declaration defers from bank to bank you may check how it is to be done with the bank you intend to open an account. Karta and one co-parcener shall be enough to open a bank account.

  5. I have a query
    If we already have a current account In sbi and now we want to link the pan of HUF whether it will be allowed / successfully done
    Or whether it is compulsory to open a HUF current account?

    • The current account will not be in name of an individual and it can be linked with the PAN of that account holder and not with the PAN of HUF.

      In my understanding, you will be required to open a new bank account in the name of HUF providing HUF PAN as the legal entity’s proof along with other relevant documents.

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