Hra

This query is : Resolved

Guest

Guest (Querist)

30 May 2012 Dear Sir/Mam,

I get a salary of 380000/-pa. & in the break down, i can tell u tht i am getting an HRA of 3041/-pm. Now if i want to show additional rent that i am paying in a rented house, how much can I declare upto? i mean how much can i get an exemption upto while calculating tax..

TARUN DHINGRA

TARUN DHINGRA (Expert)
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30 May 2012 As per section 10(13A) read with rule 2A of the Income Tax Act, 1962, the HRA exemption should be calculated as the least of the following.
1. Rent paid in excess of 10% of basic salary.
2. Actual HRA received by the employee.
3. 50% of salary in case of residential accommodation taken on rent is situated in Bombay ,Calcutta ,Delhi, or Madras (Chennai) and 40 % of salary in in any other case.

Guest

Guest (Querist)

30 May 2012 Dear Sir,

Thank you so much for the reply but if you can let me know in layman terms as to how much can I show as HRA in a yr considering that I am receiveing HRA from my firm of 3041/- pm (36491/-pa). I am really bad in understanding the technical terms, hope you understand.

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CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)
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01 June 2012 First tell me how much %age of basic salary is your HRA.

If it is less than 40%, then you have to show a minimum rent paid of the following amount:

HRA Received(3041) + 10% of Basic Salary

Guest

Guest (Querist)

01 June 2012 Dear Sir,

My Basic is 91228/-pa & HRA is 36491/-pa wich is around 39% so tht means as I understand frm your explanation, the additional HRA that i can show is around 9000 pm excluding 3041/-pm tht i am getting frm my company. is tht correct??

Guest

Guest (Querist)