Payment Of Bonus And Basic Salary - Doc Download

vvnsuresh1978
Dear Vijay
You are right but you cannot take the full benifit of HRA exemption from Income Tax Act
For Ex : Employee Montly Gross is Rs 2,50,000/-
Basic-125000 ( 50% of Gross)
HRA-75000 (60% of Baisic ) as per your advise
Conveyance-800
Special Allowance-49200
HRA Calculation
01.Actual HRA received 900,000.00
02.40% basic Salary non BCDM 600,000.00
03.Actual Rent Paid-10% Basic Salary 810,000.00
(Rent Paid -960000 - 10% of Basic-150000)
In the above three conditions whic ever is less is exemptin remaining taxable
i.e Actual HRA received 9,00,000
exemption is 6,00,000
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Taxable HRA 3,00,000
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So my question is are you benefited full exemption from HRA
Regards
Suresh VVN
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