Can PG rent receipt be used for tax computation?

Hey,

House rent allowance or HRA is a component of salary that is paid to employees by an employer. It is paid for the accommodation costs of the employees. Under Income tax rules, people can opt to get an HRA tax exemption. I will share with you the ‘can PG rent slip can be used for HRA’.

Under Section 10(13A) of the Income Tax Act, 1961, you can read details about salaried individuals residing in the rented house being able to get tax exemption on House Rent Allowance (HRA).

To avail of HRA tax compensation, a rental receipt needs to be submitted as proof. Since PG rent is paid to a landlord in exchange for shared living accommodation, you can use the PG rent receipt for tax computation.

If your family owns a PG and you live in the same quarters. You can pay rent to your parents/ family members and show PG rent receipts to claim HRA exemption in your annual income tax return.

To get relevant tax deductions, you will need to submit the PAN card details of the PG landlord if the rent amount is more than Rs 1 lakh per annum. You can claim HRA exemption without tax receipt if the HRA salary component is up to Rs 3,000 per month.

This is all from my end on can PG rent slip can be used for HRA.

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