Exemption of HRA Claim

[Lav Prajapati]

I would like to seek clarification on following issue

1. whether the location of the rented accommodation is mandatory to be in the same city as the company location for the purpose of HRA claim.

2. For claim exemption of HRA, we can pay rent our parent.

AI Summary

House Rent Allowance exemption applies only for accommodation at the place of employment; genuine tenancy to parents may qualify.
HRA exemption under Section 10(13A) read with Rule 2A applies only where the rented accommodation is occupied at the place of employment; if the accommodation is in a different city than the job location, exemption is not available. Rent paid to parents may qualify if supported by actual monthly bank payments, receipts and a formal lease evidencing genuine tenancy.