14 November 2013
Dear Sir, If somebody getting his Gross Salary Rs.30150/- per month in a Metro City. He is paying actual House Rent to his Landlady Rs.4500/- per month. How much amount he should bifurcate as HRA from his Gross Salary of Rs.30150/- Please suggest.
14 November 2013
The max HRA can be 50% of the Salary. But it will not be logical. . You must keep in mind that in your case Rent paid in excess of 10% of your basic salary -is likely to be get exempted. . So as you will show higher HRA, your basic salary will come down and that will result into higher exemption. .
CAclubindia
