"I submitted Rs7500 rent receipt last yesr to get exemption from HRA .?

Question

Can I increase this amountb to 10600 for claiming full exempotion of HRA.

Answer 1

HRA exemption is ** LEAST *** of three following limits:

a) Actual HRA; or
b) 50% of HRA (If living in 4 Metro) or 40% of HRA ; or
c) ACTUAL RENT PAID - 10% of Basic Salary.

In the above background you may find answer to your question.

CA. Deepak

Answer 2

yes u can increase this amount according to your salary. the HRA basic exemption rule is
Least of the following amt is taxfee
1 actual amount of HRA received
2.actual rent paid - 10% of salary
3. 40 or 50%(in case of bombay dehli,chenni,cullcutt) of salary


suppose your actual rent paid is 21600 and your salary is 100000 and HRA received is 21600 too then accoring to rule the taxfree amount is
1. 21600
2. 21600- 10000(10% of salary)
3 50000 (50% of salary)

result of taxfree HRA is 10600

Answer 3

except declare interior the return of earnings, exemption for HRA can't be availed in any way. era for 2004 to 2008 has already time bar as consistent with earnings Tax Act and not something could be accomplished for this era. yet may be cautous for destiny era.

Answer 4

I guess u too know the provisons mentioned in other answers. I feel, may be I am wrong, that u want to furnish the rent receipt without actually paying it. If that's the case, pls don't do it. It's not only illegal but also unjust on your part. Few thousands in life does not matter much. After all U live with pride.

Answer 5

For HRA least of the following is deductable :-

(i) HRA actually recd.
(ii) 50% of (basic+DA)(in four metros) or 40% of (Basic+DA)(other cities)
(iii) Rent actually paid - 10% of the basic+DA

calaulate according to your figures .
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Answer 6

Yes you can. But take care of provisions of section 10(13A).