Claiming HRA and interst on Housing loan

This query is : Resolved

bhaskar (Querist)
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20 March 2010 Dear Friends please clarify my doubt.
My name is bhaskar working as accountant in pvt. company.
Our company is paying one of our employee a rent free guest house the employee has recently taken housing loan and brought a house and now presently he is staying in his own house.
Now the employee asking me to give him the following benefits.
1. HRA for which he showing me rental receipts i.e. proof of his rent payment.
2. The house is occupeied by him only.however he is asking me to give him the benefit under 80c for repayment of housing loan and interest on that u/s 24b.
my doubt is whether he is eligible both for HRA and benefit under section 80c and u/s 24b ? or I have to treat the company provided house as a perq and to added to salary ? by ignoring the benefit of HRA and only giving housing loan benefit pleae clarify my doubt.

CA PRIKSHIT GUPTA

CA PRIKSHIT GUPTA (Expert)
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20 March 2010 if the person is residing in his own house, he can't claim HRA as deduction. He can claim only int. and repayment of house loan.

bhaskar

bhaskar (Querist)
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20 March 2010 Thank you Mr. Gupta for your reply,
In that case what about the rent the company is paying for his accomodation, shall I treat it as perqs and give the deductions for housing loan ?
bhaskar