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Deduction u/s 80GG

SNEHA (TAX ASSISTANT) (34 Points)

08 March 2011

What are the conditions for availing deduction U/s 80GG? and who can claim this deduction?? I want in details.

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10 Replies

S Gopal (audit) (44 Points)
Replied 08 March 2011

Individuals who are not availing House Rent allowance - can claim sec 80GG towards Rent allowance as per IT Act.

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Shriram Ramachandran (IPCC Student CWA Inter & Processing officer in GNSA Infotech Ltd) (492 Points)
Replied 08 March 2011

hi friend,

Section 80GG. Deductions in respect of rent paid
In computing the total income, an assessee is allowed deduction of any expenditure incurred by him in excess of ten per cent of his total income towards payment of rent for any furnished or unfurnished accommodation for his own residence, such deduction is limited two thousand rupees per month or twenty-five per cent of his total income for the year, whichever is less, if the assessee meets the folowing conditions:

1. Assessee is self employed and/or a salaried person who did not get any house rent allowance in the previous year.
2. This deduction is not available in any case where any residential accommodation is—
(i) owned by the assessee or by his spouse or minor child or, where such assessee is a member of a Hindu undivided family, by such family at the place where he ordinarily resides or performs duties of his office or employment or carries on his business or profession; or
(ii) owned by the assessee at any other place, being accommodation in the occupation of the assessee, for which concession for self occupied property is claimed under section 23(2)(a) or 23(4)(a).

Thanks & Regards

R Shriram

SNEHA (TAX ASSISTANT) (34 Points)
Replied 09 March 2011

If assessee having its own house which is given on Rent and assessee is leaving on Rent, then can he avail the 80GG

Ramya Kinthali (Financial Consultant) (108 Points)
Replied 10 March 2011

assessee or his spuse or child should not own any house in \the area of employement ...

if he owns a house, and stays in another house paying rent, he cannot claim deduction...

ramesh (Coming Weapon ( CA Final)) (86 Points)
Replied 14 March 2011

nice query ms. sneha,

80GG - Rent paid - Deduction

conditions:

1) Assessee or his spouse or minor child ..............not have any residential accommodation in India

or abroad

2) Not in receipt of HRA during the PY

so Condition 1 failed ..not avail 80GG deduction.

but i have little bit doubt ..if assessee owns shopping complex????

i think he can avail .....think

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SNEHA (TAX ASSISTANT) (34 Points)
Replied 15 March 2011

If assessee owns 1 house but ownership is in dispute and house is purchased on PAGADI system means by paying monthly rent from past many years...... then what happen??

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 15 March 2011

pagadi system does not confirm the ownership, its rented accomodation.

mishti (nil) (82 Points)
Replied 13 February 2012

The assessee is employed on a contract basis, and TDS is deducted thereon.

would the sec.80GG applies to him?

Pintu Saha (Accountant) (21 Points)
Replied 07 March 2014

Dear Sir/Madam,

I am working in a propritorship fim and get gross salary Rs 2250.00 p.m They dont bifercate salary. Now my question is, Can I get benefit for HRA as I pay HRA 3000.00 p.m also I want to know can I get Exemption u/s 10(14) (ii) for transportaion rs 800 p.m and chiled education 100 p.m

Thanks & Regards

Pintu Saha