HRA Vs House Loan

sunil@22
Hello
am sunil, am a employee working in Finance department, one of my colleagues declared TDS on my payroll software,
He is mention HRA under Sec 80GG, at the same time he is mention House lone Under Sec 80C both. is it correct
Can you explain ? what i ill do?
pon1965
Being a finance person, you are not aware of the IT sections.
HRA comes under section 10(13A). Housing loan principal payment under Sec 80C.
Pon
saswatabanerjee
Pon,
I think his real problem is something else :
Can an employee claim HRA as tax exempt when he obviously has a house (for which he is claiming deduction of housing loan).
Sunil, you need to have a detailed knowledge of income tax to be able to do this. Please check with your HOD or your auditor as to what the correct procedure is.
fc.vadodara@nidrahotels.com
He can claim HRA, as well as claim House Loan Interest Amount, since he/she must have not got the possession of the House.
cskanna
It is possible. But not in every case.
Is he also shows income from the house for which he repays Housing loan?
There is also possibility, like in his own house (for which he repays Housing loan) his dependents stays and he and his wife is staying in another rented house which is near by his workplace. What ever the case is, the commissioner of Income tax should accept the same. Otherwise, IT will be collected with penalty. It is IT decision whether to accept or not when both HL as well as HRA is claimed.
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute