Dear sir/Madam
Will Deputation Pay and Grade Pay of CDA employees form part of calculation of Salary for the purpose of computation of HRA exemption.
Also please tell me employee living in the house of spouse is entitled for HRA exemption.
shyam (CA Final Student) (166 Points)
23 December 2013Dear sir/Madam
Will Deputation Pay and Grade Pay of CDA employees form part of calculation of Salary for the purpose of computation of HRA exemption.
Also please tell me employee living in the house of spouse is entitled for HRA exemption.
@VaibhavJ
(Believe!! Live your dreams!)
(33516 Points)
Replied 23 December 2013
Hi,
No only Basic Salary is to be Rekoned!
As such there does not exist any commercial relationship between Husban & wife, but technically they can claim HRA exemptions.
Pl read for more clarifications: /articles/house-rent-allowance-a-tool-of-tax-planning-for-employees-18929.asp
Thanks//VaibhavJ