HRA
This query is : Resolved
18 March 2010
My salary is taxable. so can i get HRA Exemption if i am working with CA Firm (5 paid employees)? There is no bifurcation of my salary. Fixed salary of Rs. 24000/- Per Month
CMA Ramesh Krishnan
(Expert)
18 March 2010
for claiming HRA exemption you need to get HRA portion from the employer.otherwise you can claim Sec.80GG
Murtaza I Bhagat
(Expert)
18 March 2010
agree hra exemption can claimed by those persons who received hra from employees otherwise as per expert says.
Taranjit Singh
(Expert)
18 March 2010
Any individual can claim the deduction u/s 80GG. Irrespective of whether you are a salaried individual, or a business person, you can claim deduction under Sec 80GG.
Taranjit Singh
(Expert)
18 March 2010
Restrictions on claiming the deduction
There are certain restrictions in this section. You can not claim deduction u/s 80GG if:
You receive HRA from your employer (or you received HRA from your current or previous employer at any time in the year)
You or your spouse or your minor child owns a house at the place (city / town / village) where you normally stay, work or conduct business
You are a member of a Hindu Undivided Family (HUF), and the HUF owns a house at the place where you normally stay, work or conduct business
You own a house at any other place and claim concessions of self-occupied house property for it (For example, tax benefit of a home loan for the house)
Amount of deduction under section 80GG
So, how much can you claim as deductible u/s 80GG?
The amount allowed as deduction is the minimum of the following:
Rent / lease amount paid less 10% of your total income
Rs. 2,000 per month
25% of your total income
Here, Total Income means:
Your Gross Total Income
Less long term capital gain, and short term capital gain that would be charged at a concessional tax rate (like STCG from sale of shares)
Less all deductions other than the deduction under Section 80GG
There are certain restrictions in this section. You can not claim deduction u/s 80GG if:
You receive HRA from your employer (or you received HRA from your current or previous employer at any time in the year)
You or your spouse or your minor child owns a house at the place (city / town / village) where you normally stay, work or conduct business
You are a member of a Hindu Undivided Family (HUF), and the HUF owns a house at the place where you normally stay, work or conduct business
You own a house at any other place and claim concessions of self-occupied house property for it (For example, tax benefit of a home loan for the house)
Amount of deduction under section 80GG
So, how much can you claim as deductible u/s 80GG?
The amount allowed as deduction is the minimum of the following:
Rent / lease amount paid less 10% of your total income
Rs. 2,000 per month
25% of your total income
Here, Total Income means:
Your Gross Total Income
Less long term capital gain, and short term capital gain that would be charged at a concessional tax rate (like STCG from sale of shares)
Less all deductions other than the deduction under Section 80GG
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- EPF ECR NEW FILE SEP 17TH 2026
- Under marginal scheme
- Oct 2025 Invoices
- TAX AUDIT ON PROFESSIONAL INCOME
- Capitalgain tax purposes for valuation report compulsory
- Import of Software Service.
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- TDS on Fixed Assets purchased
- Clarification Requested: Gift → NRO → NRE → Overseas Transfer - USA/CANDA (FEMA & Tax Compliance)
- Capital Gail Exemption Certificate
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
