Hra exemption
This query is : Resolved
22 March 2012
Hai
I am sanjay. I have one point in my mind in regards to HRA exemption. Can Husband and wife take exemption of HRA if both are receiving it but Husband is giving rent? If yes what are the conditions.
Kindly advise. It is urgent.
Regards
Sanjay
I am sanjay. I have one point in my mind in regards to HRA exemption. Can Husband and wife take exemption of HRA if both are receiving it but Husband is giving rent? If yes what are the conditions.
Kindly advise. It is urgent.
Regards
Sanjay
22 March 2012
If no rent paid HRA exemption not avail eventhough HRA received from the employer. First i think you know how to calculate HRA exemption. Lower of the Following three HRA exemption available.
1) Actual HRA Received
2) Excess rent paid over 10% of the PAY+DA
3) 40% of the Gross Salary(50% for delhi,chennai,kolkatta and Bangalore)
If no paid the second condition of the above becomes negative figure so lower of the above is condition 2 which is negative so HRA exemption 0(ZERO).
In your case you are paying rent and your spouse(wife) not paying rent so in her hands rent payment is ZERO so above explained condition attracts and HRA exemption not available.
In word Husband and wife both are living at the same house and only one paying the rent in their hands then other should not avail the HRA exemption. So in your case your wife not avail the HRA exemption.
But in practice many of them claiming HRA exemption for both husband and wife if both are employees eventhough they both are staying at one house. it is againest to the Act.
OM SAI SRI SAI JAI JAI SAI
1) Actual HRA Received
2) Excess rent paid over 10% of the PAY+DA
3) 40% of the Gross Salary(50% for delhi,chennai,kolkatta and Bangalore)
If no paid the second condition of the above becomes negative figure so lower of the above is condition 2 which is negative so HRA exemption 0(ZERO).
In your case you are paying rent and your spouse(wife) not paying rent so in her hands rent payment is ZERO so above explained condition attracts and HRA exemption not available.
In word Husband and wife both are living at the same house and only one paying the rent in their hands then other should not avail the HRA exemption. So in your case your wife not avail the HRA exemption.
But in practice many of them claiming HRA exemption for both husband and wife if both are employees eventhough they both are staying at one house. it is againest to the Act.
OM SAI SRI SAI JAI JAI SAI
Message likes :
1 times
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
- Relief Calculation u/s 89 of ITax 1961 in TableA Form10E
- Can we claim ITC in 28%
- Regarding E-invoice Generation
- Forgot to update debit note in gst
- Can we issue an invoice today
- SALE OF GOODS FROM OTHER STATE
- Expenses add back in profit
- Foreign commission liable for rcm
- Accounting Policies changes
- Can we claim RCM ITC paid on Gst audit of earlier years,
- GST APPLICATION
- CERTIFIED TRUE COPY OF PARTNERSHIP DEED
- PARTNERSHIP FIRM REGISTARTION
- TDS on Immovable property to an NRI
- Revenue stamp for individual to Individual
- Regarding updated Return After Submission of Income Tax Audit Report
- Tds on GST in connection with sale to public company
- B2B Amendment
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
