12 January 2018
One of the employee getting 25,000 BASIC and received 5000 as HRA per month.That employee received HRA for FOUR months only but paid the rent 4000 for the whole year(12 months). as per HRA exemption: 1. A. 5000 x 4 = 20000 (HRA received) B. 50% of Salary(300000 x50/100) 150000 C. Rent paid(4000 x 12) 48000 - ? my question is rent paid minus 10% salary here 10% salary means 10000(4 x 25000*10%) or 30000(12x25000*10%) please guide me thanks in advance
CAclubindia
