Pan number of landlord

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 February 2014 Sir

If I am paying rent more than 1 lakh and transaction are being made from directly bank to bank and I have not the PAN Number of My Landlord . Is it possible to get HRA exemption from my employer, if yes what should i have to submit others documents in place of PAN Number of my landlord ?

Thanks

madhav gaggar

madhav gaggar (Querist)
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27 February 2014 what documents are to be attached with form 109 for transfer of article ship

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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27 February 2014 no documents are to be attached to form 109 just it needs to be signed by your principle.

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CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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27 February 2014 without pan number you are not eligible for any HRA exemption.

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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27 February 2014 i have to differ a bit on the HRA issue. It is not mandatory that the employee cannot claim HRA deduction where employer has not covered the same in Form 16. the condition of PAN has been issued through a circular which are not binding on the assessee. The circular is for computation of tax liability under 192 and not under the charging provisions of the act.

The employee while filing the return can compute the tax liability on his own after computing exemption under HRA. However, it shall be incumbent upon him to provide proof for payment of rent if his case is picked up in scrutiny.

AVTAR SINGH

AVTAR SINGH (Expert)
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27 February 2014 If the landlord does not have PAN then a declaration from him to this effect alongwith rent receipts will entitle the employee to get exemption of HRA from the employer while computing TDS liability.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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28 February 2014 but still even if declaration is given the AO can trouble him for non providing the pan of landlord in case if the amount exceeds rs 1,00,000

Nikhil Kaushik

Nikhil Kaushik (Expert)
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28 February 2014 Thats the beauty of a circular. AO cant force assessee to do something in excess to what is provided in the Act. A circular cannot burden assessee.

Even as per circular AO can ask the employer only to provide the PAN details for its employees.

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AVTAR SINGH

AVTAR SINGH (Expert)
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28 February 2014 As per circular, " if annual rent paid by the employee exceeds Rs 1,00,000 per annum, it is mandatory for the employee to report PAN of the landlord to the employer. In case the landlord does not have a PAN, a declaration to this effect from the landlord along with the name and address of the landlord should be filed by the employee." Therefore the employer has no power to ask for the documents beyond the requirements of the circular. Even AO has no power to ask for something not required in the Act. I fully agree with Mr. Nikhil in this regard.