16 October 2011
Hi I want some querry regarding house rent allowance case is that the employee was entitled HRA of rs. 6500.00 P.M. from 1.04.10 to 31.08.2010. he was paying a rent of Rs. 7600.00 for a house in Delhi. With effect from 01.09.2010 he has been provided with accommodation by the company for which the company is paying the rent of rs. 5500.00 P.M. The company recovered from him Rs. 1200.00 as rent for the Accommodation.
16 October 2011
VALUE OF HRA IS NIL BECAUSE RENT PAID IS MORE THAN HRA RECEIVED FOR THE PERIOD 01.04.2010 TO 31.08.2010.....AND CALCULATE RFA FOR FURTHER PERIOD FROM 01-09-2010 TO 31-03-2011. WHICH IS LEAST OF FOLLOWING-:
1. RENT PAID BY EMPLOYER
2 15% OF RFA SALARY.
LESS FROM ABOVE LEAST, AMOUNT RECOVERED FROM EMPLOYEE
CAclubindia
