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HRA exemption over Gratuity payment and income from other source

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Kamal Pal

Dy. Mgr. Accounts

71 Points Posted on 26 December 2021

Esteemed members,

Request you to please reply the following query.

Mr. A have resigned April 2020 and received Gratuity there after only.
Mr. A did not have any salaried income in F.y. 2020-21 after April.
Mr. A has some income from other sources with freelance only.

Question is if MR. A can claim HRA exemption on Gratuity and Income from other sources in F.y. 2020-21 in ITR for the year?

Data is - Mr. A's Gratuity (on resignation, before retirement - non Govt) is 4 lac + Income from other sources 6 Lac and Rent paid during the year is 3.6 lacs.

As ITR filing is due soon, please reply as soon as possible.

Replies (2)

Quick Summary

This discussion explores whether an individual who resigned in April 2020 and subsequently received gratuity, along with income from other sources, can claim HRA exemption for the financial year 2020-21. The query specifically asks about claiming HRA on gratuity and freelance income when there's no basic salary component, and how the computation would work. The member is also aware of Section 80GG but seeks clarification on HRA eligibility and calculation in this unique scenario.

CA Aakarsh Jain

4330 Points Posted on 26 December 2021

DEDUCTION u/s 80GG can be taken

Kamal Pal

Dy. Mgr. Accounts

71 Points Posted on 27 December 2021

Sir, I know the section but my question was if assesse is eligible to claim HRA on Gratuity and income from other sources and secondly what will be computation in such case when no BASIC or DA component is available.