Hra deduction

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Vishal (Querist)
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04 May 2012 Hell Sir,
I have a problem related to HRA deduction fro AY 2011-12. Please Solve it.
I have worked as a Computer Faculty (Contact Base) from April 2011 to 28-Oct-2011 and got 10000/- Rs as Consolidated salary and i donot get HRA during this period.

I got Regularised on 29-Oct-2011 IN Education departmant.

I want to pay my IT RETURN.

I PAY MY HOUSE RENT OF RS. 48000/- FOR YEAR 2011-12 .

PLEASE TELL HOW CAN I CALCULATE HRA DEDUCTION FOR CONTRACT PERIOD AND REGULAR PERIOD.

Mihir Doshi

Mihir Doshi (Expert)
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04 May 2012 What is the HRA Amount

Deduction is available under section 10(13A) of Income tax Act.

Calculate HRA Monthwise from November month.

HRA exemption should be calculated as the least of the following.
1. Rent paid in excess of 10% of basic salary.
2. Actual HRA received by the employee.
3. 40% percent of basic salary, if the location of the residence is in a non-metro city/town or 50% of basic salary, if the location of the residence is in a metro city

Thanks
Mihir Doshi

Guest

Guest (Expert)

04 May 2012 during contract perriod take Rs 2000 as house rent paid u/s 80E

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CA Prashant Gupta

CA Prashant Gupta (Expert)
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04 May 2012 80E is deduction for interest on education loan. Rent paid is covered u/s 80GG.

Guest

Guest (Expert)

04 May 2012 yes its 80GG. But i think 80GG is available only to salaried individuals who dont get HRA. Pls clarify wetehr contractual employee can avail of 80GG deduction

Vishal

Vishal (Querist)
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04 May 2012 PLEASE GIVE ME THE COMPLETE CALCULATIONS

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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04 May 2012 If you don't get HRA then you can not claim exemption of HRA 10 (13A) but if you are paying rent then you may have to referred to below instruction to claim rent exemption with out getting HRA

NOW COMES TO MAIN POINT HOW YOU CAN CLAIM RENT EXEMPTION EVEN YOU ARE NOT RECEIVING HRA

Deduction under section 80GG for house rent paid:Deduction u/s 80GG is available if following condition are satisfied

Deduction is available to Individual Assessee only.
He has not received HRA(house rent allownace ) from his employer if he is a salaried person otherwise he should be self employed.
He has paid house rent for his own residence.
He or his spouse or his minor child or HUF(of which he has a member) should not have a residential house where he ordinarily resides or performs duties of his office or employment or carries on his business or profession;
He should not have a house owned by him, which is under his occupation and value of that is not being taken as nil under section 23(2)(a) or 23(4).
A declaration on Form 10BA should be submitted .

so if conditions are satisfied then he can claim deduction u/s 80GG for house rent paid

Amount of deduction:Least of the following is deductible u/s 80GG

Rs 2000 per month for the Assessment year 1987-88 onwards.
25 % of total income
the excess of actual rent paid over 10 % of total income

Total Income means income excluding long term and short term gain under section 111A and income referred to in section 115A or 115D but before making any deduction under section 80C to 80U.

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Vishal

Vishal (Querist)
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04 May 2012 SIR, I HAVE GOT SALARY 10000/- PER MONTH FROM MARCH 2011 TO SEPT 2011. ON CONTRACT BASIS. I DON'T GET ANY HRA DURING THIS PERIOD.
FROM 28-10-2011 MY JOB WAS REGULARIZED AND I GOT SALARY AS GIVEN BASIC 10790 + GRADE PAY 3800 + HRA 1459. I GOT THIS GRADE TILL DECEMBER 2011.
AFTER THAT I GOT SALARY AS GIVEN - BASIC 13450 + GRADE PAY 5000 + HRA 1845 TILL NOW I AM GETTING THIS SALARY.
I PAID HOUSE RENT 4000 PER MONTH DURING 2011-12.
PLEASE TELL MY HOUSE RENT DEDUCTION AFTER CALCULATION

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Guest

Guest (Expert)

04 May 2012 Deduction under 80GG- till Sep 11 12000

Period - Nov 11 to Mar 12
Actual HRA 12143
50% of basic 44415
(assuming metro city)
Excess of rent paid 11117
over 10% of salary

Deduction u/s 10(13A) 11117

Total deduction 23117

Mihir Doshi

Mihir Doshi (Expert)
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04 May 2012 Here in this case there are few aspects for calculation.
Amount of salary
HRA amount
Actual HRA received
Rent paid
Tenure of service

If any of the above are not constant throughout the year then HRA calculation will be done on Monthly basis. (Section 10 (13A).

Now you have to calculate HRA on monthly basis and then you will get your answer

Thanks
Mihir Doshi

Guest

Guest (Expert)

04 May 2012 Yes, the amount will differ on monthly calculation

Vishal

Vishal (Querist)
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04 May 2012 I HAVE ALL THE DETAILS OF MY SALARY IN EXCEL FILE..
CAN I SEND IT ON UR PERSONAL EMAIL ID.

GIVE ME UR ID'S

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