Hra

This query is : Resolved

Atul M (Querist)
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21 October 2013 Individual has salary income .He is getting Hra . His wife own the flat and he was not getting benefits of Hra. Now he made d rent agreement with own name near the her flat to get the HRA Benefits ? so He is liable to get benefit of hra?

Sanket

Sanket (Expert)
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21 October 2013 Yes he can get the exemption. Conditions to b fulfiled. 1) The section 10(13A) provides that exemption would be allowable to an assessee for any allowance granted to him by his employer to meet expenditure actually incurred on payment of

residential accommodation occupied by the him;

2) However, the exemption is not available in case the residential accommodation occupied by the assessee is owned by him or the assessee has not actually incurred expenditure on payment of rent;

3) Admittedly, the AO had given a finding of fact that the assessee and his wife were living together as a family. Therefore, it could be inferred that the house owned by wife of the assessee was occupied by the assessee also;

4) The assessee had submitted the rent receipt(s) and payments had been duly verified. Therefore, the assessee had fulfilled the twin requirements of the provision, i.e., occupation of the house and the payment of rent. Thus, he was entitled to exemption under section 10(13A) - BAJRANG PRASAD RAMDHARANI

taxmann.com 186 (Ahmedabad - Trib.)