hi friends,
Mr. A is an salaried person working in Gujarat,his family is residing in Bangalore due to some reason.He is paying rent for both in Bangalore and Gujarat.However when it comes claiming HRA exemption he gets more benefitted on the rent paid to Bangalore building.In such a case can he claim HRA for Bangalore house instead of house in which he is residing ( Gujarat). Please share your opinion..
Menu
Rental allowance calculation
Replies (8)
No such rent paid on bangalore house is not allowable.
Excerpts from section 10(13A):
any special allowance specifically granted to an assessee by his employer to meet expenditure actually incurred on payment of rent (by whatever name called) in respect of residential accommodation occupied by the assessee, to such extent as may be prescribed having regard to the area or place in which such accommodation is situate and other relevant considerations.
So I think the exemption cannot be claimed in respect of Bengaluru property
No, rent paid for the house which is occupied by you is eligible for HRA exemption.
Rent for Bangalore house is not applicable
Not eligible for Bangaluru property rent. You can take HRA benefit only for Gujrat property rent paid.
If you have to reduce tax payment then you find some other tax planning methods.
Thankyou every one for your replies.
Your welcome
Related Topics
CAclubindia
