Can I claim HRA Exemption for rent that I paid for my Dependents

[Asked by Guest]

Hi

I am living in a company accommodation, however my dependents (parents) are living in a different city and I am paying their rent as they do not have any source of income. Can I claim HRA exemption for the rent that I paid for the house in which my parents are living. (Please note that I am residing in an company provided accommodation.)

Please advice.

Thanks

Arvind

[Deepak Aggarwal]

Hello,

HRA exemption is available only on expenditure actually incurred on payment of rent in respect of residential accommodation occupied by the assessee. It is irrelevant whether parents are dependent or not.

Thanks

AI Summary

HRA exemption limited to rent for residential accommodation actually occupied by the taxpayer; payments for dependents' rent not eligible.
HRA exemption is confined to rent actually paid for residential accommodation occupied by the assessee; payments for premises not occupied by the assessee do not qualify and dependency of the occupants is immaterial.