Question

How profit is distributed in Joint Hindu Family Business?

Options

• Men have more share than women.

• The older members of family receives more profit than younger members.

• Equal shares for all of them.

• Only the Karta has all the profit.

Answer 1

Equal shares for all of them.

Explanation:

In a Joint Hindu Family Business, profits are generally shared equally among all members, as each has an equal share in the ancestral property and the business. The Karta, who manages the business, does not receive all the profits, nor do older members receive a larger share than younger members. Both men and women have equal rights as coparceners under the Hindu Succession (Amendment) Act, 2005. Thus, the profit distribution is equal among all members, regardless of gender or age.