HRA or 80GG

• Where the rent paid is equal to HRA, then one can choose between either rent free accommodation or receiving HRA.

• It is never beneficial to receive an amount as a special allowance and to claim 80GG deduction. The deduction under 80GG (in normal cases) will always be less than exemption under 10(13A) for HRA. Hence HRA is always beneficial than 80GG deduction.

For More on this : https://sify.com/finance/tax/fullstory.php?id=12625835

My Question was different. It is not the question of beneficial section it is about if an assessee in his 1st organsiation received HRA for 5 months in previous year and left that organisation and joined 2nd organisation where he has not received any HRA in his salary then how he will avail deduction / exemption for his rent payment for his resident. 
 

Whether he will take HRA exemption for 5 months and 80GG deduction for rest 7 months? Or he will take HRA exemption for 12 months and Nil deduction u/s 80GG (Because as per section 80GG - Deduction u/s 80GG can be availed if assessee not received any HRA in the previous year).

Please reply

Dear Mr. Surjit,

If a person is not receiving HRA and He is employee and paying Rent then he can claim deduction of the same u/s 80 GG. Accordingly you will have to claim HRA for 5m and deduction u/s 80 GG for 7m. The person can not claim both at the same time.

Thanks & Regards

Hitesh

Mr Hitesh..

Your points should be accepted ... Thanks