Deduction for House Rent Paid Where HRA is not Received
The following conditions have to be satisfied for claiming deduction under section 80GG –
- The assessee should not be receiving any house rent allowance exempt under section 10(13A).
- The accommodation should be occupied by the assessee for the purposes of his own residence.
- The assessee or his spouse or his minor child or an HUF of which he is a member should not own any accommodation at the place where he ordinarily resides or perform duties of his office or employment or carries on his business or profession.
- The assessee must be living on rent and paying the rent.
- The deduction is available to all individuals
The Least of the following will be allowed as Deduction:
- Actual rent paid – 10% of the total income of the assessee before allowing the deduction, or
- 25% of such total income (arrived at after making all deductions under Chapter VI A but before making any deduction under this section), or
- Amount calculated at Rs 5,000 p.m.