Landlord pan mandatory for hra

CA Navin Jain (MANAGER (FINANCE & ACCOUNTS))   (11768 Points)

03 January 2012  

Dear,
According to the Circuler issued by the Income tax department, now landlord PAN card is must to get tax exemption against HRA allowance. One will have to submit PAN card as a proof if he is applying for more than 15,000 Rs. as monthly rent which means from now on, he needs to submit original rent receipts as proof of rent as well as PAN card copy of the landlord to get the tax exemption on HRA.

Earlier only rent receipt was required to get the tax exemption but as per the latest notification from Income Tax Department, now one has to submit the PAN details of the landlord. This is mainly due to the increase in the no. of people who are producing false receipts to get the tax exemption.

 

CIRCULAR NO. 05/2011 dated 16.08.2011