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HRA for Metro Cities

Others 12694 views 5 replies

Moin.

Manager - Finance & Accounts

102 Points Posted on 30 January 2008

Dear Friends,

I have doubt in HRA calculation of metro city "Hyderabad", earlier Hyderabad is common city and calculated HRA 40% on Basic (3rd slab) but it is converted to metro city from few months back, HRA for metro cities 50% on basic, that's reason which rate to calculate of HRA and any circular from income tax department for this change, How to break the year? (mean 5 months 40% and another 7 months 50% of basic), please suggest me for this change, am looking information for calculation of HRA of our organization, please mail your advice for this query to kmoindn @ gmail.com thanks

Replies (5)

girish

article

567 Points Posted on 30 January 2008

What is the evidence that Hyderabad converted into Metro ? I think no circular or notification till date regarding Hyd becoming Metro. No doubt from the day when city becomes metro 50% of salary will apply The question is hyderabad is a metro or not

O.D.SHARMA

DGM-F & A

1734 Points Posted on 30 January 2008

Metros are still 4,Delhi,Mumbai,kolkata,Chennai all other non metros are 40% HRA rates.Calculation will be on month & day basis ,When ever new addition for metro rates in I.T Comes, O.D.Sharma

Ranganath AAGJ

CA Final Student

147 Points Posted on 30 January 2008

Hyderabad is not a metro.. Metro cities still 4 only..

Guest

460655 Points Posted on 31 January 2008

Ya boss hyderabad became metro, but according to Income tax act, Chennai - mumbai - delhi - culcutta only metro cities. So HRA at 50 % is not applicable in this case