Accommodation by company and hra is also paid

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 February 2013 Hi Experts,

Good morning.

Please advise whether in the following case, employee can claim HRA exemption:
A company is providing accommodation to employees. Employees are availing the accommodation facilities as the place is away from main city. At the same time families of some employees are staying in other cities due to education of children etc and taking house on rent in that city. Company is paying HRA also. Can employee claim the HRA exemption?
Rgds,

@VaibhavJ

@VaibhavJ (Expert)
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08 February 2013 Hey Good Morning,

If rent is paid by employee & he is having agreement (not mandatory) in his name & rent receipts as a proof to substantiate rent paid by him then he can claim HRA.

Thanks!!

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CA AYUSH AGRAWAL

CA AYUSH AGRAWAL (Expert)
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09 February 2013 Dear Author,

One Cant Claim RFA and HRA Both at One Time.
so Either Employees Can Claim HRA or Rent Free Accomodation Perquisite.

But Option is provided, Can Claim Any Option Among Both Which is more beneficial to Assessee (Employee)

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Querist : Anonymous

Querist : Anonymous (Querist)

09 February 2013 Thanks Ayush Sir,

Can you please give some case laws reference as I can't find this provision and need to explain the same to the management.

best regards