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I'm having housing loan but it is not self occupied and I'm staying in rental basis. Can I avail the tax benefit from HRA as well as from housing loan. If so is there any document need to be submitted to income tax department saying that my house is not self occupied.

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up vote 2 down vote accepted

If you have housing loan with the house located in City A and you are working/Living in City B, then you can claim both the HRA as per City B norms as well has the rebate on your housing loan.

There is no additional documentation required if you are employed. You would need to inform you employer and he would deduct taxes appropriately.

While filing returns there are separate sections where you would need to fill this up.

If the house you own and house you rent are in same place, then you are out of luck. You cannot claim HRA in such cases.

Attaching some links:
http://business.rediff.com/report/2010/mar/30/perfin-you-can-claim-hra-and-home-loan-benefits.htm

http://www.caclubindia.com/forum/claim-both-hra-housing-loan-158759.asp

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Thanks for the guidance. In my case my house is located in City A and working in City B. –  vinoth Apr 19 '12 at 5:03
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protected by Chris W. Rea Jan 21 '13 at 13:58

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