My wife is an employee of a PSU , posted in Hyderabad. She is entitled for company leased accommodation in lieu of HRA. She provided her own flat in Hyderabad to the company as self leased accommodation, for which the company is paying her rent. Simultaneously, the company is adding some perquisite value (Rent Free Accommodation) in her salary income for TDS from her salary.
Now at the time of filing my ITR, would she need to calculate her income from house property? If so, please tell me the calculation of same to avoid double taxing (perquisite value already added to her income from salary) of amount of rent received.
Also will she be entitled to claim the deduction towards municipal taxes paid, flat 30 per cent of annual value ? She has not taken any hosuing loan for the said flat which is leased.
Request the experts to clarify and thanks in advance
Ramesh Narasimhan
CAclubindia
