HRA exemption Calculation monthly , yearly basis or period basis?

Posted: 03 Jan 2011 05:37 PM PST

Organizations in India follow different methods for arriving at the House Rent Allowance (HRA) exemption, while calculating income tax on employee salary. Each method produces a different exemption amount. This begs the question, "which is the correct method?" Payroll managers have different opinions on how the exemption should be calculated. Let us examine the methods used for the HRA exemption...

[[ This is a content summary only. Visit my website for full links, other content, and more! ]]