e-Filing for AY 2019-2020 has stopped. You can still use ClearTax to generate a paper return.
House Rent Allowance or HRA is paid by an employer as part of salary. HRA helps an employee cover rental expenses. If you live on rent you can save tax on HRA. HRA is fully taxable for those who do not pay rent.
If you received HRA from your employer and paid rent but could not submit rent receipts on time to your employer, don’t worry. HRA Exemption can be claimed while filing your tax return.
Do remember to maintain rent receipts safely in your records.
Answer a few questions and cleartax will find out the maximum HRA exemption you are eligible for.
How do I know?
If you submitted any rent receipts to your employer/HR, it is very likely that you claimed some part of your HRA already. Please check your Form-16 to be sure.
Please enter your current HRA exemption value ( Per year or For the duration with the employer )
Where can I find this?
This should be in your form-16 in either part-B or in annexure section. Please confirm with your HR if you are not sure.
What's your Basic Salary per month as per your pay slip?
What's your HRA Allowance per month as per your pay slip?
How much rent did you pay every month?
Which city do you live in?
Woohoo! Below is your allowed HRA exemption
Tax is calculated on your total income earned during the year. But, if your total salary includes any past dues (i.e. arrears) paid in the current year, or your have received family pension in arrears, you are allowed some tax relief under section 89(1) read along with Rule 21A. In simple words you are saved from paying more tax because of delay in payment to you.
Please note that in order to claim this relief you need to submit Form 10E to the Income Tax department first.
Do you know the Section 89 relief amount you are eligible for?
Yes, I have the calculated value
No, I need help calculating the relief amount
Please enter the Relief 89 amountclick to see sample
Your relief amount has been noted. ClearTax will consider this relief amount in calculating your tax return. This will be shown in the last step of e-filing summary page
Note: Please don′t forget to save your data
If you need help calculating the relief amount, then a ClearTax CA expert can help you calculate this and file your returns quickly.
Do you have a Form-16?
Click here to upload your Form-16 PDF and avoid manual entry.
Your tax return will be automatically prepared.
Don't have a soft-copy? Use our step-by-step-guide to understand your Form-16.
Use our step-by-step guide to download and upload your Form-16.
Name of the Employer *
The name of Company / Organization
Employer Type/Category *
Public Sector Unit
Please provide this information as per your Form-16 Part-B.
You can match each item with the field number in your Form-16.
click to see sample
Gross salary is the aggregate amount of compensation discharged by an employer or company towards the employment of an employee. This is further divided into three components:
(i) Salary as per section 17(1)(ii) Value of perquisites as per section 17(2)(iii) Profits in lieu of salary as per section 17(3)
Part-B of Form-16 starts with the head 'Gross Salary'. The break-up given under this head, 'Gross Salary', is the same as what is asked in ITR-1. You are just required to copy and enter the information in ITR-1
Please enter break down for 1(a) - Salary as per section 17(1). You can refer to your Form-16 for the data. For more help, click the sample button.
Please enter break down for 1(b) - Value of perquisites under section 17(2). You can refer to your Form-16 for the data. For more help, click the sample button.
Please enter break down for 1(c) - Profits in lieu of salary under section 17(3). You can refer to your Form-16 for the data. For more help, click the sample button.
Please enter break down for 2. Exempt allowances under section 10. You can refer to your Form-16 for the data. For more help, click the sample button.
This contains information about the partially or fully tax-exempt allowances received from your employer such as house rent allowance (HRA) and leave travel allowance (LTA)
To understand which of the allowances you receive will reflect under 'Exempt allowances under section 10', you need to know if the allowances received by you as per your salary structure are either partially or fully taxable.
This information will be available in Part-B of Form-16 under the head 'Allowances to the extent exempt under section 10'
Salaried individuals living in rented houses (paying rent) can claim the House Rent Allowance (HRA). If you do not live in rented accommodation, this allowance is fully taxable.
To claim the HRA exemption, HRA must be part of your salary. If your employer does not provide you the HRA or if you are self employed, then you can claim the deduction under section 80GG.
The amount of rent paid cannot be claimed as HRA Exemption directly. The HRA exemption shall be lower of the below 3 amounts
1. Actual HRA received;2. 50% of [Basic Salary + Dearness Allowance] for those living in metro cities (40% for non-metros);or3. Actual rent paid less 10% of [Basic Salary + Dearness Allowance]
Use the HRA Calculator to calculate the HRA exemption amount.
Note: If you see any auto populated amount under HRA exemption, then it is captured from the form-16 that you have uploaded. This value is not calculated by ClearTax.
Tax Deducted at source on Salary
In your Form-16, find this under Part-A: Total of Amount of tax deposited / Remitted
click to see sample
TAN of the Employer
In your Form-16, find this under Part-A - TAN of Deductor click to see sample
Address Line *
Town / City *
ANDAMAN AND NICOBAR ISLANDS
DADRA & NAGAR HAVELI
DAMAN & DIU
JAMMU & KASHMIR
State outside India
Applicable if you have not already claimed the HRA component in your salary and live in a rented apartment
Please do not forget to save your data.
Note: You should submit Form 10E to the Income Tax department first in order to claim this relief.
Applicable only if your salary income includes the arrears from previous years
Don't lose out on HRA Exemptions if they haven't been included in your Form-16.
Expert Assisted plan
& a tax expert will help you avail HRA Exemptions.
I want to add another Salary