HRA related concern while filing e-return

I had never declared HRA in my Comp1 tenure, thus HRA related part is not update in my Form16. so I have below concerns related to HRA.

1. During my Comp1 tenure, we never received HRA thus at the time of filing e-Return I used to declare it under 80GG.

2. Last year(April 2014-March 2015) I was student for 8 months up to Nov 2014.From Dec 2014 I started getting HRA component.

3. Now while filing eReturn for 2015-16(current year) I am declaring rent paid under 80GG for those 8 months where I was a student and was not receiving HRA

4. Post November, Starting December I started receiving HRA for next 4 months(Dec 2014-march 2015). So where to declare this amount for this 4 months ??

5. is this amount exempted from my GROSS TOTAL INCOME  under extent exempt u/s 10?? If not, then I need your help in this calculation.
Asked 1 year ago in Income Tax from Pune, Maharashtra
In the present case you can claim deduction for rent U/s. 80GG for 8 months i.e. when you was student.

Rest of the months if you have not declared the House rent paid to your employer then the same can be declared at the time of filing IT return i.e. which preparing computation . The same should be taken care U/s.10 as per the exemption allowable for HRA.

If you want to have calculation then you can mail us the details at modani005@gmail.com




Shyam Sunder Modani
CA, Hyderabad
955 Answers
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  Talk to Shyam Sunder Modani
You need to subtract minimum of the three from the HRA you received from Employer to arrive at income from salary.

If you are not having any other source of income then this will be your gross total income. From this if you deduct your 80GG, any insurance etc U/s.80C you will get taxable income.

Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
  Talk to Shyam Sunder Modani
Also if you want you can send us the breakup of basic, HRA other allowances along with HRA paid and others.

Also send the stipend you received when you were student.

We will calculate and send you the details. you can reach us at modani005@gmail.com
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
  Talk to Shyam Sunder Modani
1. The calculation you are doing is almost correct. 
2. You first need to take salary as per your form 16 subtract the HRA i.e. least of the 3. 
Then you add your stipend. Both clubbed together is your Gross Total Income
3. From the amount arrived deduct rent paid for 8 months which will be calculated as per 80GG.

Then you will arrive at your total income.

If you are not clear then tell i will explain along with example or if you can provide figures i can calculate and tell.
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
  Talk to Shyam Sunder Modani
Hi

I have sent you the calculation sheet taking into consideration the full details.

If any query you can let me know.

Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
  Talk to Shyam Sunder Modani
As I am trying to answer your query, I noticed that you posed a supplementary query to Mr Shyam.  As the question is answered by him clearly,I don't think there is need to repeat my answer. 
All the best.
B Vijaya Kumar
CA, Hyderabad
290 Answers
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Section 80GG is available only to person who are not in receipt of HRA. In the present case you have received HRA for four months and hence you cannot claim deduction u/s 80GG. Best option is claim exemption u/s 10 for HRA and forget the claim under section 80GG. Because maximum amount allowable u/s
80GG is 24000 and whereas deduction u/s 10 in respect of HRA is to the extent of HRA received. This more benificial. 
Vijay N. Kale
CA, Hyderabad
248 Answers
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