Coparceners details in HUF demat accounts

Central Depository Services Limited, vide Circular No. CDSL/OPS/DP/POLCY/2026/253 dated April 11, 2026, has announced an important update regarding Coparceners details in HUF demat accounts.

Key Details of the Update –
• The communiqué refers to Communiqué No. CDSL/OPS/DP/POLCY/2026/218 dated March 28, 2026, which had mandated capturing the details of coparceners at the time of opening HUF demat accounts.
• Based on requests received from Depository Participants, the requirement to capture the PAN of a coparcener has now been made optional at the time of account opening.
• However, Central Depository Services Limited has clarified that Depository Participants will be mandatorily required to capture the PAN of the coparcener in the existing HUF demat account under coparcener details at the time of partial or full dissolution of the HUF account.
• The amendment appears intended to provide operational flexibility at the account opening stage while still ensuring that coparcener PAN details are captured at the stage of dissolution, where identification and record integrity become more critical.

Actions if Any –
• Depository Participants should ensure that, while opening HUF demat accounts, the PAN of the coparcener is treated as optional and not mandatory.
• Depository Participants must ensure that the PAN of the coparcener is mandatorily captured in existing HUF demat accounts under coparcener details at the time of partial or full dissolution of the HUF account.

Compliance Deadline –
The communiqué does not prescribe a separate future compliance date and is applicable from April 11, 2026. Accordingly, Depository Participants must follow the revised requirement immediately, treating coparcener PAN as optional at the time of opening HUF demat accounts and mandatorily capturing such PAN at the time of partial or full dissolution of the HUF account.