[India]Income tax notice for paying rent to parents and claiming HRA tax exemption.
Due to work from home i am staying in a tier 2 city which is 200km from my work place. if am paying a rent of 30k per month to my father and submit HRA with pan card. can i still get tax exempt on HRA even though the house i am paying rent is 200km far from my office? will there be any problem of notice being sent to parents or audit made on their financials based on PAN card number i have put in rent Receipts?. Is it mandatory to file ITR for my father in that case. Any one who claimed tax benefit by paying rent to parents by living in a tier 2 city which is >60km far from your office. TC: 27 Yoe: <1 #Atlassian #VMWare #Airbnb #App Dynamics #Zeta #ShareChat #ServiceNow #Snowflake #Stripe #Sumologic #Grab #Uber #Google #Linkedin #Arcesium #Expedia #Twitter #Rippling #Coinbase #tax #savings #TAXSAVINGS #Google #Amazon #Meta #Microsoft #Flipkart #Swiggy #Navi #Zeta #Directi #Myntra #Paytm #TAX #HRA #INVESTMENT #HOUSING #RENT #HRA
Yes you can claim HRA. There is no clause that prevents exemption when you are not living in the city of your workplace. Rent need to be declared as income by parents in ITR. Rental agreement and proof of rent payment is required.
where can i generate Rental Agreement?
You also have to deduct TDS and pay it via form 26QC as rent exceeds 240000.
The title of the post is very much misleading. 🤦♂️
Did you get an income tax notice for it?
no, this will be the first time i will be filing ITR. just wanted to check pros and cons of the approach
No you won't juss keep papers of receipt and rent agreement