Lets discuss LTA

[CATdog]

Thanks for sharing such good informations.
Good
keep sharing

Thanks & Regards
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Work hard to get what u like
otherwise u wud be forced to like what u get

[CATdog]

Friends can anyone give another example of HRA computation. I stay in chennai.
Basic 12,000 and rent paid 7000/-. HRA given to me by company is 10K
_________________
Work hard to get what u like
otherwise u wud be forced to like what u get

[genius]

Calculation of taxable amount
Let me explain you with this. ok you live in Delhi and your salary structure for a month is as follows:
Basic - Rs 10,000
HRA - Rs 10,000 (limit by company)
Monthly rental expenses – Rs. 7,000

Now, HRA will be exempt to the extent of the least of:
• Rs 5,000 (50 per cent of salary); or
• Rs 10,000 (HRA received); or
• Rs 6,000 (excess of rent paid over 10 per cent of salary)
i.e. HRA exemption will be Rs. 5,000.
Got it..
#
How to calculate taxable amount

Step 1 - Take the figure of HRA received during the year

Step 2 - Calculate the lowest of the three amounts mentioned in the forum above according to the city you are staying in

Step 3 - Deduct Step 2 from Step 1

The balance is taxable


I am also enlosing the format for house rent receipt:
Rental Accommodation

Received a sum of Rs. #, ###/- (Rupees <Amount in words> only) vide Cheque no. #### drawn on ## bank dated. dd/mm/yyyy from Mr. ABC residing at <address> towards the rent for the month of #### 2007.

Signature of the Land lord
(To be signed on a revenue stamp)
Name of Landlord
Date: ######
PAN # of Landlord
Address
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[taraa.sharmaa]

Very useful info ... thnks