HRA EXEMPTION

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Katta Vishnupriya (Querist)
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13 November 2019 IF AN EMPLOYEE JOINS IN AN ORGANISATION ON 1-10-2019 AND HE RECEIVES HRA THEN WHAT IS THE RELEVANT PERIOD TO BE TAKEN FOR THE ACTUAL RENT PAID DURING THE PREVIOUS YEAR IN CALCULATION OF HRA EXEMPTION .WHETHER WE SHOULD TAKE COMPLETE YEAR OF ACCOMMODATION (i.e,from 01-04-2019 to 31-03-2020) OR FOR THE PERIOD FOR WHICH HE RECEIVES HOUSE RENT ALLOWANCE (i.e,from 1-10-2019 to 31-03-2020).

A.S.SUNDARARAJAN

A.S.SUNDARARAJAN

(Expert)
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13 November 2019 Firstly we have to see , whether he is employment from 01.04.19 to 30.09.19. If so, the new employer is to work out TDS for the previous employment and present employment. Then HRA eligibility as per IT act to be worked out separately for the first six months and another six months separately based on HRA receipt . If in the previous empolyment , no HRA is paid, then house rent receipt to be considered only from 01.10.19 to 31.03.2020. Similatrly if there is no employment in the first six months, no house rent benefit to be given.

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Katta Vishnupriya

Katta Vishnupriya (Querist)
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13 November 2019 Thank You ,Sir . It's a very Good Explanation.

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