Wrong calculation of hra by company

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I have filed my income tax return as salaried person on the basis of form 16 issued by the company. now income tax officer in scrutiny calculated the HRA which is NIL where in my form 16 it is RS.250000 which i have claimed in ITR.

now my question who is liable and responsible for this for doing wrong calculation and Tax liability arise

can i take any action against company

please provide ur guidance along with case law if have any

Replies (9)

before calculation of TDS all employees has to furnish their 

PAN copy 

all claims to be considered under Chapter VIA, ( 80C, 80D, 80CCA etc)

Interest on house loan repayment details , bank interest accured if any 

House rent paid (HRA)

such information is to be furnished once in every april and every early march 

failure to furnish such data to employee means the employee is not entitled to get any deduction or benefit and on that ground form 16A is issued 

I AM ASKING ABOUT WHO IS RESPONSIBLE COMPANY FOR WRONG CALCULTAION OF HRA.. OR ASSESSEE WHO HAVE CLAIMED HRA ON THE BASIS OF FORM 16 IN INCOME TAX RETURN

if the employee has provided the HRA documents to company well in advance , then employer is responsible, otherwise the emloyee is 

at the time of getting salary after deduction of TDS, the employee is much aware of the fact that how much TDS is deducted, and at that time he had option to ask the HR to rectify the same and reduce the TDS burden, 

I dont think that after getting documentary evidence from the employee, the company would go for wrong deduction, 

In My Case In Form 16 HRA Exemption Is Rs.798000 And Income Tax Office Calculated On The Basis of Evidence Rs. 249000 Now The Want To Charges Penalty For Claiming Excess HRA Exemption.

If Company Is Calculating HRA Rs.798000 as Exempt U/s 10(13A) And Same Is Claimed in the ITR.

So I have responsible for this should i have to penalty or i can say that i am not responsible for this because i have filed my return of form 16 basis.

i need some solid reason for argument with ITO

so you kept silent when excess HRA is claimed, and enjoyed the lower TDS???

now under scurtiny when you are getting taxed on genuine grounds, you are transfering it to company?

if the company had to allow lower HRA then excess TDS had to be deducted, check with HR of employer, they have details and grounds for the HRA submitted by every employee, because the HRA section above 1 Lacs per annum has to be carefully chaked and complied 

Originally posted by : Mehul Chudasama
I have filed my income tax return as salaried person on the basis of form 16 issued by the company. now income tax officer in scrutiny calculated the HRA which is NIL where in my form 16 it is RS.250000 which i have claimed in ITR.

now my question who is liable and responsible for this for doing wrong calculation and Tax liability arise

can i take any action against company

please provide ur guidance along with case law if have any

 

 

In My Case In Form 16 HRA Exemption Is Rs.798000 And Income Tax Office Calculated On The Basis of Evidence Rs. 249000 Now The Want To Charges Penalty For Claiming Excess HRA Exemption.

first of all i request you to read what you have wrote in the query 

1st place HRA NIL in form 16

2nd place HRA 798000 shown in form 16 

3rd place HRA actual 249000 

take some time and then repost the query, with actual facts, 

Dear Mehul,

I am writing this answer practically,

 

First of all, generally employer calculates HRA benefit on the basis of documents provided by employee. Therefore, we can't say with surety that employer had calculated wrong in form 16.

 

Apart from this, it is liability of employee also, at the time of filing of ITR that all deductions and exemptions have been calculated properly. 

So ultimately employee has to suffer.  

Thank You So Much Both Of You

please go through the link for further clarifications:-

https://clearlogics.in/news_details.php?id=Nw%3D%3D 

 


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