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Hra

14 December 2014

in case of hra , if a employee pays rent to his parents for accommodation .. so will this rent be entitled for exemption under 10(13A) ?

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ASHUTOSH KUMAR CHITRAGUPTA (STUDENT (PURSUING CA)) (28 Points)
Replied 14 December 2014

You can claim rent given to your 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. You 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 payment of rent to a spouse will not be accepted by the income tax authorities. You will need to keep all your rent receipts since it is the only proof that you are paying rent.