Previous financial year, I didn't declare HRA to my employer and thought of manipulating it while filing IT return.
In this section, one should put exempted amount after HRA calculation based on HRA received, basic salary etc, correct?
Another question, if I take into account monthly rent of Rs. 8,300 so that the annual rent is under Rs. 1 lac, in that case, do we need to provide any extra documents such as rent receipts? I'm unable to find any such field to provide these documents.
Last question, just in case, if I inflate the monthly rent to Rs. 21,500 so that I can maximize my HRA exemption and simply put the exempted amount there with no rent receipts and PAN of landlord provided, what are the odds of IT people asking for rent receipts and other proofs related to it?
I know there's been quite some buzz and I'm not willing to risk my peace of mind for some Rs. 40k savings. Please suggest if anyone has experience in this please. Never claimed HRA directly while filing, it's always been through employer and the same reflects in Form 16.
Why are you complicating? Just use Quicko for free. Yes, that's HRA. Use any online calculator and file HRA. Proofs are not provided while filling ITR but need to provide in case you receive intimation under sec 143(1). No one in the world can answer your last question.
Yes, enter amount you can claim after all calculation in this field. No proof documents are asked when filing itr be if with 8300 or 21500. But you can be asked by itd for proofs later in which you will have to provide rent reciepts/agreement and proof of transfer of that amount during the year. They are sending notices for fake hra and 80c claims this year but nothing certain if you will get the notice or not
Have you heard from anyone if they're sending notices with penalty? If yes, how much could be the penalty, any idea?
@LordGane @legend101
sahil1033 wrote:2x of amount you tried to evade i think. They will likely add some interest + penalty as the tax due is not paid on time.Have you heard from anyone if they're sending notices with penalty? If yes, how much could be the penalty, any idea?
@LordGane @legend101
sahil1033 wrote:Have you heard from anyone if they're sending notices with penalty? If yes, how much could be the penalty, any idea?
@LordGane @legend101
The notices are to provide proofs against the deductions taken. Also, no penalty if revised before 31st july. After that it can be upto 200% of the additional tax payable (plus some interest)
>>> Last question, just in case, if I inflate the monthly rent to Rs. 21,500
so that I can maximize my HRA exemption and simply put the exempted
amount there with no rent receipts and PAN of landlord provided, what
are the odds of IT people asking for rent receipts and other proofs
related to it?
If you claim HRA using your owner's PAN, Your owner's AIS will have entry of your rents as other sources of income. He has to dispute and you will be caught.
baludesi wrote:While claiming HRA directly at the time of filing HRA, I can't see any place to upload rent receipts and providing landlord's PAN>>> Last question, just in case, if I inflate the monthly rent to Rs. 21,500
so that I can maximize my HRA exemption and simply put the exempted
amount there with no rent receipts and PAN of landlord provided, what
are the odds of IT people asking for rent receipts and other proofs
related to it?
If you claim HRA using your owner's PAN, Your owner's AIS will have entry of your rents as other sources of income. He has to dispute and you will be caught.
below 1L a year no issue
above 1.5L a year, find some relative or friend who is either a student or retired, make a rent agreement with him/her
transfer rent to his account, file his incometax too
