Dear sir Plz guide us that we can claim Rebate tax calculation on salry Regardsboth House rent allowance and Interest on house loan repayment on
From India, Bhopal
From India, Bhopal
Dear Vimal,
HRA is one of the Tax benefits for employee.
To claim HRA you should have House Rent Allowance ( HRA ) in your Salary Break up in general every employer will provide to their employees for tax benefit .
To claim HRA there are certain rules according to Income Tax norms
they are
1) Actual HRA received ( Which is mentioned in your salary break up )
2) 40% of Basic Salary ( in case Metropolitan cities it is 50% )
3) Rent Paid - 10% of Basic salary
among all which ever is less will be considered for getting exemption under section 10 as per Income Tax Act.
about House Loan this will come under section 24 as per IT act.
Repayment of Interest will be considered upto Rs. 1,50,000/- per Annum
and Principal amount will be considered under section 80C maximam upto Rs. 1,00,000 ( note that all together will be Rs. 1,00,000 under section 80C)
To my knowledge you can not claim HRA and Interest on Housing loan at a time.You can claim either of one, If your House is in another city and you are working in different place and paying rent then you can claim both .
Note that for claiming either HRA or Housing Loan you have to submit the proper documents
I hope you will get some Idea according to my view and I wish you all the best.
From India, Hyderabad
85HRA is one of the Tax benefits for employee.
To claim HRA you should have House Rent Allowance ( HRA ) in your Salary Break up in general every employer will provide to their employees for tax benefit .
To claim HRA there are certain rules according to Income Tax norms
they are
1) Actual HRA received ( Which is mentioned in your salary break up )
2) 40% of Basic Salary ( in case Metropolitan cities it is 50% )
3) Rent Paid - 10% of Basic salary
among all which ever is less will be considered for getting exemption under section 10 as per Income Tax Act.
about House Loan this will come under section 24 as per IT act.
Repayment of Interest will be considered upto Rs. 1,50,000/- per Annum
and Principal amount will be considered under section 80C maximam upto Rs. 1,00,000 ( note that all together will be Rs. 1,00,000 under section 80C)
To my knowledge you can not claim HRA and Interest on Housing loan at a time.You can claim either of one, If your House is in another city and you are working in different place and paying rent then you can claim both .
Note that for claiming either HRA or Housing Loan you have to submit the proper documents
I hope you will get some Idea according to my view and I wish you all the best.
From India, Hyderabad
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
HRA – House Rent Allowance.pdf