Dear All, Can anybody pls tell me the three basic conditions to calculate HRA?? House Rent Allowance Its urgent!!! Gauri
From India, Delhi
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16From India, Delhi
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Hi Gouri,
HRA is calculated on Salary (Basic + DA). For Metropolitan cities, HRA is 50% of Salary, and 40% for other cities. For example, if Basic = Rs. 5000/- per month; DA = Not applicable - for a person working in metros, then HRA = 50% of 5000 = Rs. 2500/- per month. Similarly, if the person is working other than a metro, then HRA = 40% of 5000 = Rs. 2000/- per month.
Hope you got your query answered!!!
Regards, Rachna
From India, Hyderabad
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HRA is calculated on Salary (Basic + DA). For Metropolitan cities, HRA is 50% of Salary, and 40% for other cities. For example, if Basic = Rs. 5000/- per month; DA = Not applicable - for a person working in metros, then HRA = 50% of 5000 = Rs. 2500/- per month. Similarly, if the person is working other than a metro, then HRA = 40% of 5000 = Rs. 2000/- per month.
Hope you got your query answered!!!
Regards, Rachna
From India, Hyderabad
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Dear Member,
HRA is calculated as follows:
1. 50% (Metropolis) or 40% (Rest of cities) of Basic
2. Actual rent paid - 10% of basic
3. HRA (As per Appointment letter)
The least of the three is taken for exemption. If you still want to clarify, you can contact me at the links/number mentioned below.
Regards,
Santosh
Email: hr.santosh@gmail.com
Email: santoshkumarhr@gmail.com
Phone: 09350825655
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HRA is calculated as follows:
1. 50% (Metropolis) or 40% (Rest of cities) of Basic
2. Actual rent paid - 10% of basic
3. HRA (As per Appointment letter)
The least of the three is taken for exemption. If you still want to clarify, you can contact me at the links/number mentioned below.
Regards,
Santosh
Email: hr.santosh@gmail.com
Email: santoshkumarhr@gmail.com
Phone: 09350825655
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W B Workmen's House Rent Allowance Act, 1974.pdf
Note on HRA & LTA Exemption.doc