Whether a company providing "company leased accomodation" to an employee with gross salary of Rs. 30,000/- p.m. (HRA component is Rs. 1500/-) at the rate of Rs. 12,000/- per month is correct in counting the total taxable oncome as Rs. 42,000/- per month?
Should the employee get an exemption atleast on HRA of Rs. 1500/- p.m. which is deducted in lieu of leased accomodation?
No, HRA is not provided, but counted in gross salary and later shown as deducted in net salary.
Yes that is 1 question.
and 2nd question is whether employee who is not in receipt of any cash for the leased accomodation should pay tax on the full amount of lease value OR should get exemption to some extent like 10% of the salary etc.
CAclubindia
