Dear All,
A query on House Rent Allowance:-
Can a person claim HRA exemption by showing that he is staying in his parent's house and paying rent to them. I believe on receipt of rent receipts, the HRA exemption can be claimed.
Also in case where the Father is the owner of the house and the Mother the nominee of the House. Can a person claim HRA exemption by showing that the rent is paid in the name of the Mother who is the Nominee of the house.
Thanks & regards,
Ramanathan
Dear Ramanathan,
one can claim the HRA showing the rent receipt but it should be paid to the owner of the house not any other person. write me any query related to the Taxation on my mail sothat i can give quick response. my email id is sachinagarwalcallb @ gmail.com
Yes, HRA can be claimed. However a Rent agreement should preferably be made between Father and Son so as to avoid the IT department's query in case scrutiny arises. Also make the payment for rent by cheque [ Even though you take out the money from the bank at any later date after the cheque is cleared :-) ] This would save you the trouble of proving that you actually paid the sum to your father ..... and yes, don't forget to include the rent income in your father's return.
Hope you have got your answer :-)
Thanks and regards
Sundeep Chourasia
I agree with what Mr Sundeep has said. u can claim it and should route the payment through bank mode.
Mr. Sandeep U r right. rent should be actually paid. there should not be mere book entry, since there is relation of father & son. Mother is not the owner of property.
CAclubindia
