Hra calculation

Tax queries 113 views 2 replies

If Assesse is working in two companies simultaneously, then how to calculate HRA exmption?

Replies (2)
HRA calculated on the basis of HRA received
In your case from both company
Sec 10(13A)

1.actual HRA received
2.actual rent paid - 10% of salary
3. 40% or 50% of salary

Least of above is exempted
Taxable = actual HRA received - exempted

Here 50% in case metro city
Metro city are mumbai, chennai, calcutta, delhi

Salary = basic salary +DA +commission

Note : if employee is living in his own house or not paying rent then entire HRA will be taxable

this is ok & thank you sir.. but my question is whether can we compute & get HRA exemption in both? or can we take in proprotionarely?


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