Key Points
Subject to certain conditions, a part of HRA is exempted under Section 10 (13A) of the Income-tax Act, 1961...
Hence, if an individual opts for new tax regime in current financial year 2023-24, then he/she cannot claim tax exemption for HRA..
Who can avail HRA tax exemption?This tax benefit is available only to the salaried individuals (opting for old tax regime) who have the HRA component as part of their salary structure and is staying in rented accommodation..
A salaried individual must have robust documents to prove the genuineness of the HRA tax exemption claim.. 2. Own a house, but staying in a different city..
An individual paying rent for a furnished/unfurnished accommodation can claim the deduction for the rent paid under Section 80(GG) of the Income-tax Act, provided he is not paid HRA as a part of his salary by furnishing Form 10B..
