Section 80GG of income tax act, 1961 is applicable to a self employed person, businessman and even to a salaried person for the expenses that they incur towards house rent. If you are not receiving house rent allowance from your employer or your salary does not include house rent allowance then you are eligible to claim income tax deduction under section 80GG for your … [Read more...] about How to claim income tax Deduction on rent paid – Section 80GG
house rent allowance
Frequently Asked Questions on House Rent Allowance exemption
House rent allowance is paid by an employer to his employee. The employee as per the eligibility under section 10 (13A) can claim exemption from House Rent Allowance (HRA) received every month. A self-employed person did not get a salary from the employer. Therefore, he can not claim an exemption under section 10 (13A) of the income tax act 1961. However, a self-employed … [Read more...] about Frequently Asked Questions on House Rent Allowance exemption
Example for calculating Exemption for House Rent Allowance
Mr. X is working in a non-metro city and receives a basic salary of Rs. 14, 500, Dearness Allowance as Rs. 3000 and does not receive any commission. If he has paid Rs. 3000 as house rent while receiving house rent allowance of Rs. 4000. Let us calculate what will be his taxable house rent allowance; ParticularsCalculationAmount (Rs.)Actual house rent allowance4000*1248, … [Read more...] about Example for calculating Exemption for House Rent Allowance
House rent Allowance or HRA Exemption U/S 10 (13A)
House rent allowance granted by an employer to his employee is tax exempted to the extent provided under section 10 (13A) of income tax act 1961. Employees in India, receive house rent allowance from their employer every month as a part of their terms and conditions of employment. As per the Income Tax Act provision, HRA is partly exempted if certain terms and conditions … [Read more...] about House rent Allowance or HRA Exemption U/S 10 (13A)
How to claim HRA or house rent allowance exemption
If you are living in rented accommodation in a metro city or in some other city and you do not own any house in such a city then you can claim house rent allowance exemption from your HRA. To claim exemption, your employer may ask you for; rent receipt as a proof of payment of your rent, andthe lease agreement between you and your house owner If you provide these details … [Read more...] about How to claim HRA or house rent allowance exemption