Form 10ba

Extent of Deduction u/s 80GG -Lower of (a) Rs. 2,000 per month, or (b) 25% of the total income (after allowing all deductions except under this section), or (c) Expenditure incurred in excess of 10% of the total income (after allowing all deductions except under this section).

point C not cleared pls explain~

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.

Of course, you need to be paying rent, and for your own accommodation.

Thus, if you are paying rent for a house where your parents live, you can not claim deduction u/s 80GG. Similarly, if you are staying in a house but your spouse is paying the rent, you can not claim any deduction.

You can claim deduction for either furnished or unfurnished accommodation.

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)

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

You need to declare that you are paying the rent. This has to be done by filling up and filing from 10-BA.