Deduction under Section 80GG

Section 80GG of the Income Tax Act allows individuals a deduction for rent paid for furnished or unfurnished accommodation. The deduction is allowed to taxpayers who do not receive any HRA from their employer.

Following are the conditions to claim deduction on Rent paid u/s 80GG

  • Only an independent individual can claim deduction u/s 80GG
  • An individual can be salaried or self-employed
  • In the case of a salaried person, he should not be receiving House Rent Allowance (HRA) from an employer
  • For claiming a deduction, Form 10BA needs to be submitted with the IT Department
  • Assessee or his spouse or minor child or HUF of which he is a member should not own any residential accommodation at the place where he is residing/performing office duties under-employment/carrying business or profession
  • The assessee should not own a self-occupied house property at any place

You can read more about Section 80GG here

Got questions? Shoot’em

1 Like

2 posts were merged into an existing topic: Tax savings and deductions under chapter VI A

Hi,

I joined a company on this oct. Before that I was working as intern for different company where i got only stipend. I was paying rent since april. But in my current company they are allowing me to declare monthly rent only from OCT for which i can get HRA deduction. Can I claim HRA for rent paid from APR to SEP while filing return?

Hello @pushpasooraj,

You can claim a deduction for rent paid from April to September u/s. 80GG maximum up to INR 60,000.

You can read more about it here: 80GG - Deduction for Rent Paid - Learn by Quicko

Hope this helps!

Hi @Bharti_Vasvani ,

As per the conditions mentioned in cleartax.in for 80GG, it is said that HRA should not be received anytime during the year. In my case from November I’m receiving HRA. So in this case can I still claim 80GG from April to September ?

Hi @pushpasooraj

In order to claim deduction under section 80GG, HRA should not have been received at any point of time of the year. That means you can claim either one of them (HRA or Deduction u/s 80GG).
So, you cannot claim a deduction u/s 80GG from April to September as you have received HRA for November.
Read more about 80GG - Deduction for Rent Paid - Learn by Quicko

Hope this helps.

1 Like

Got it. Thanks for the clarification

1 Like