HRA sec 10(13A)

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Shiva Prasad.K (Querist)
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03 July 2008 Hi,

I am the employee receving the HRA but i have own house that house is in the name of My mother can i claim the HRA by making my mother as a Owner and my self as a tenant

CA Anand Sarda

CA Anand Sarda (Expert)
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03 July 2008 You can claim rent given to parents:

Let's say you live with parents and pay them rent. This makes your parents the landlords. One of them will have to declare it in his/ her personal income tax return to prevent litigation in the future.

One cannot claim rent paid to spouse:

The relationship between a husband and wife is not commercial in nature; a husband and wife are supposed to stay together. So the income tax authorities will not accept payment of rent to a spouse.

One will need to keep all rent receipts:

Since it is the only proof that you are paying rent. HRA exemptions are only available on submission of rent receipts or the rent agreement.

However, if the HRA is up to Rs 3,000 per month, then receipts/ agreement is not mandatory. It is only when your HRA exceeds this amount that you will have to keep the receipts.

But it is wise to still keep them because, "at the time of assessment, the income-tax officer may demand the receipts/ agreement."