Please solve my query my one of the relative is working under Public Sector organisation she receiving HRA around Rs. 91000 yearly she staying in the house of her parents but she paying monthly rent to her parents Rs. 7500/- pm i.e early Rs. 90000/-.
Please guide me she is eligible for claiming the HRA allowance while filing the ITR and what is documents need to maintain.
19 January 2023
You can claim HRA exemption on the lowest of the three:
The amount of HRA your employer, pays you.
If you live in a metro city, 50% of your salary is eligible for HRA deduction. If you live in a non-metro city, 40% of your salary is eligible for HRA deduction.
10% of your basic pay minus the total rent you pay.
You can submit your rent receipts to the employer.