Section. 10(13A) of the Income-Tax Act, does not require that receipts must be there.
It says that to the extent of Special allowance (HRA) is paid to meet the housing accommodation occupied by the assessee -
prescribed amount according to the area or place in which such accommodation is situated or OTHER RELEVANT CONSIDERATIONS.
Hence you need not worry. Even if AO adds the amount in your assessment; an appeal can be filed and you will win your case. But follow all which is suggested above.
13 August 2010
The land lady provided one rent receipt last yr. so we could claim the HRA based on the single rent receipt as the deptt insists on having receipt every yr.
We are paying Rs 5000 as rent pm.
Q what can we do . Q Are the rent receipts necessary to claim tax rebate or are they mandatory to claim HRA
But since, the finance deptt. of any company needs to collect all the relevant documents before allowing any income tax benefit to the employee, so they will insist on the receipt.
What you can do,Prepare an affidavit with all the rent details / get it verified in local magistrate office & submit the same alongwith your bank statement copy to your employer. On this basis they should allow this HRA benefit to you.
In any case, your employer does not allow you such benefit, you can always have your own calculation for filing your ITR & therein you can claim the HRA benefit & claim the tax refund, if excess TDS deducted by way of disallowance of HRA.
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