Partnership firms house rent

First of all pl clarify if its a firm or a company..

assuming it is a FIRM,

Your taxability

The remuneration as a working partner (in accordance with section 40(b)(v)) and interest on capital @ 12% credited to your account (whether or not actually received during the year) will be taxed as your income form business in your personal IT return.

You are not an employee of the firm, you are a partner so, if the firm pays you additional HRA, it will just be your drawings and not income.

However, if you actually pay rent you can claim deduction u/s 80GG (subject to conditions) in your personal IT return (not in the partnership firm's return).

Firm's taxability

Since the house rent of partners is not business expenditure (It is personal expenditure)of the firm the firm cannot claim it as expenditure.