HRA Claim Living In Parents Home: If you do a job and live with your parents in their house instead of a rented house, then you can still claim HRA exemption in income tax. However, for this, it is necessary to follow some conditions. At the same time, you can also claim HRA exemption by living in a relative’s house. Know what are the rules for this:
HRA Claim Living In Parents Home: The last date for filing Income Tax Return (ITR) is 31st July. It would be better to file ITR before the last date. Salaried people, that is, people who work, get exemption in HRA (Home Rent Allowance) under Section 10 (13A) of Income Tax while filing ITR. This exemption is given to those who live in a rented house. If a person wants to take advantage of this, then he has to claim it while filing ITR.
What is HRA?
A salaried person is given some amount in the form of HRA. This is an allowance given to the employee. It is given by the company to pay the house rent. This amount is taxable, that is, tax has to be paid on it. The person who lives in his own house has to pay tax on it. There is exemption in this if he lives in a rented house.
You can also get exemption on parents’ house
- It is not that if a salaried person is living in a rented house, only then he can claim HRA for income tax exemption. He can also claim exemption in this while living in the house of any parent, relative or friend etc. However, for this he will have to follow some rules.
- If he lives in his parents’ house, then he will have to get a rent receipt from the parents. Keep in mind that the receipt should have the name and signature of the person in whose name the property is.
- The person in whose name the property is (mother or father), their PAN number has to be given. PAN has to be mentioned in ITR.
- It is necessary to have a rent agreement. It is necessary to mention the amount of rent and the time of the agreement in it.
The person in whose name the property is also has to file ITR
The amount received as rent is added to the income of the person in whose name the property is. In such a situation, if his total income comes under the purview of income tax income, then he will also have to file ITR. Experts say that no matter what the income is, every person must file ITR.
Keep these things in mind
- The house in which you live should be in the name of the mother or father.
- The house should not be in the name of the wife or children.
- Whatever house rent you pay to the mother or father, it should be paid online.
