Income Tax: House Rent Receipt PDF Format Download
The PDF for the House Rent form can be downloaded by following the link provided at the bottom of the article. Click on the link to access the Taxability of House Rent Allowance form in PDF format.
Taxability of House Rent Allowance
House Rent Allowance (HRA) is a component of an individual’s salary that is paid by an employer to help cover the cost of renting a residence. The taxability of HRA depends on several factors, including the individual’s salary, the location of the rented residence, and the amount of HRA received.
In general, HRA is taxable if the individual receives it as part of their salary, and it is not exempt from tax under any provisions of the Income Tax Act. The amount of HRA that is taxable is calculated as the lowest of the following three amounts:
- The actual HRA received by the individual
- The amount of rent paid by the individual, minus 10% of their basic salary
- 50% of their basic salary, if the individual resides in a non-metropolitan city, or 40% of their basic salary if they reside in a metropolitan city.
How much of HRA is exempt from tax?
For example, if an individual receives a basic salary of INR 50,000 per month, and they receive HRA of INR 20,000 per month, and they pay rent of INR 12,000 per month, then the taxable HRA would be calculated as follows:
- The actual HRA received: INR 20,000
- Rent paid minus 10% of basic salary: INR 12,000 – (10% * INR 50,000) = INR 7,000
- 50% of basic salary: 50% * INR 50,000 = INR 25,000
- The taxable HRA in this case would be INR 7,000, which is the lowest of the three amounts.
It’s important to note that the taxability of HRA may change based on the individual’s salary and the location of the rented residence. It’s always a good idea to consult with a tax professional or refer to the applicable tax laws to determine the taxability of HRA in your specific situation.
RECEIPT OF HOUSE RENT
(Under Section 1 (13-A) of Income Tax Act)
Received a total sum of Rs._____________________________(Rupees ______________________________________________) @ Rs.__________ per month for the period from ______________ to ____________. From Mr / Mrs. __________________________________________, for the residential accommodation provided to him at the House No. ______________________
Affix One Rupee
Signature of the House Owner
Address No. ___________________
PAN NO. ____________________
Download PDF format of House Rent Receipt
What is the taxability of House Rent allowance (HRA)?
Least/minimum of the following is exempt (Not taxable/deducted from total HRA received)
(a) Actual amount of HRA received
(b) Rent paid Less 10% of salary
(c) 50% of salary if house taken on rent is situated in Kolkata, Chennai, Mumbai and Delhi
40 % of salary if the house is taken on rent is NOT situated in Kolkata, Chennai, Mumbai and Delhi.
Where is House Rent allowance (HRA) to be reflected while filing income-tax return (ITR)?
The amount of HRA is required to be disclosed in the ITR under the column allowances to the extent exempt under section 10. section 10(3A) is the relevant section under which the amount of exempt HRA to be shown.
Calculate Taxability of House Rent Allowance