20 November 2008
Dear Sir, an assessee is paying rent to his mother for the flat which is in joint name (first name mother,second name assessee).the flat was acquired only out of money of mother,assessee's name was added as second holder to avoid any future inheritance proble. can the assessee get H.R.A.exemption which he get from his salary? regards paresh zatkia
20 November 2008
Technically assessee can claim HRA exemption. Since ITO will doubt the same, assesee has to make the payment of rent by cheque to his mother and mother also has to show rent income in her return of income.