Section 80GG – Exemption in respect of house rent paid,who have not get H.R.A., With Automated Master of Form 16 Part B for F.Y.2016-17

      Latest Amended U/s  80GG have raised the limit from 2000/- to Rs. 5000/- as per Finance Bill 2016-17
      ·                          Only individual and HUF are allowed exemption under this section.

       ·                          Only rent paid for purpose of residence of assessee himself is considered under this section.

      ·                          If an individual is a salaried employee and receives House Rent Allowance(HRA) at any time during the previous year, he is not eligible for deduction.

      ·                          The individual, his spouse or minor child (including step or adopted child) or HUF of which he is a member must not own a residential accommodation at a place where he ordinarily resides or performs duties of his office or employment or carries on his business or profession.

    ·                          Also if the assessee (only assessee not any other person mentioned above) owns a residential accommodation at any other place but claims it as a self-occupied property under head House Property, the exemption is not available under this section.

   ·                          Declaration under form 10BA is required to be filed.

Calculation of deduction:-

The amount deductible is least of the following:-

1) Rs. 2000 per month (Rs. 5,000 per month from the financial year 2016-17)

   2)  25% of total income

 3) Rent paid – 10% of total income

Download Automated Master of Form 16 Part B for 50 employees for the Financial Year 2016-17 [ This Excel Based Software can prepare at a time 50 employees Form 16 Part B as per the all amended tax section by the finance bill 2016-17]

Deductor's the main sheet

Employees Salary Structure with Section wise deduction sheet

Form 16 Part B