HRA Declaration Form (Go. No. 97SE(B). dt 07-03-2001) PDF

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HRA Declaration Form (Go. No. 97SE(B). dt 07-03-2001)

House Rent Allowance (HRA) is one of the most commonly received allowances by the salaried class. Although it is a part of your salary, HRA, unlike basic salary, is not fully taxable. Subject to certain conditions, a part of HRA is exempted under Section 10 (13A) of the Income-tax Act, 1961. The amount of HRA exemption is deductible from the total income before arriving at a taxable income.

In order to calculate the HRA, the salary is defined as the sum of the basic salary, dearness allowances and any other commissions. If an employee does not receive a commission or a dearness allowance, then the HRA will be around 40% – 50% of his/her basic salary.

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