How do I claim my house rent allowance in Income Tax Return? The taxable part of HRA will be mentioned in part B of your Form 16 under the ‘Gross Salary’ head according to Section 17(1). Copy this information and paste it in the 'Salary as per section 17' section of the ITR-1 form.
However, if it is used for personal purpose, you can claim deduction of interest u/s 80EEB in your ITR since you would be reporting both personal and business income in the ITR (under your PAN). As per the Income Tax Act, the deduction under Section 80EEB is applicable from 1st April 2020 i.e. FY 2020-21.
Step 3: Claim the deductions. If you have submitted the tax-saving investment proofs, the employer would have considered them before deducting TDS. For instance, rent receipts must be submitted to your HR department in advance to claim the HRA deduction. If you fail to submit the receipts to your employer, you can always claim them while filing.