TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Circulars
of of All Circulars
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Clarification on House Rent Allowance Exemption: Section 10(13A) & Rule 2A, Salary Includes Dearness Pay, Verification Required.</h1> Circular No. 90, dated June 26, 1972, clarifies the exemption of house rent allowance (HRA) under Section 10(13A) of the Income Tax Act, as per Rule 2A. It specifies that 'salary' includes 'dearness pay' for calculating exempt HRA for government employees. The circular mandates verification of rent payment through receipts for tax exemption eligibility. Exemptions apply only if actual rent exceeds 10% of salary. The circular also cancels previous instructions allowing flat rate HRA exemptions without verification. HRA is not exempt if the employee lives in their own house or pays no rent.
TaxTMI 
TaxTMI 
