House Rent Allowance

This query is : Resolved

Anil Kumar Kedia (Querist)
Follow

16 June 2008 One person is having a owon house at Jaipur and there his family is leaving. He is working at Delhi and getting HRA from company. Is he can claim HRA inspite of having own house.
Kindly advise me.
Thanks.
Anil Kediya

guru santhanam

guru santhanam (Expert)
Follow

16 June 2008 He can Claim HRA as long as he pays rent to the Jaipur house and Jaipur house is not owned by him.

He can claim Interest on loan bought for the Delhi property also.....

Check this link also.

http://www.apnaloan.com/taxtips/home-loan-india/taxdeductionbenefitsforhlhra.html

Hope this helps u

Regards,
guru

guru santhanam

guru santhanam (Expert)
Follow

16 June 2008 Extract from this link...

http://www.rediff.com/getahead/2006/jul/24hra.htm

You took a home loan and have got the home. But you are not staying in it for genuine reasons.

It could be that the home is at a considerable distance from your work place. Or, it could be that the home is rather small and your parents are living in it so you have to stay elsewhere.

Though your rental accommodation and home are in the same city, you can still get all the benefits.

What you will be entitled to

- Tax benefit on principal repayment under Section 80C
- Tax benefit on interest payment under Section 24
- HRA benefit

However, it is necessary you have some of your belongings at your home (the one you own) and you stay there on and off on weekends and holidays.

Despite this, if your employer does not agree and denies your tax benefits, you will have to claim it at the time of filing your tax returns.

Upgrade to CAclubindia Pro. Subscribe Now!