Exercise problems for HRA (House Rent Allowance)

1. Mr.Ankit is a salaried employee working in Uttaranchal and he gives the following details. Basic
salary Rs.10, 000 p.m. for 6 months and Rs.15, 000 p.m. for next 6 months during the P/Y. DA 40% of total
basic salary (50% forms part of salary). A turnover of Rs. 1, 00, 000 has been achieved. Commission on
turnover at 2%. HRA Rs.12, 500 p.m. (Rs.15, 000 p.m. paid as rent). Calculate taxable HRA.
2. Mr.Abdul Nazar works in Government of Tamilnadu (Chennai). He gives the following details.
Basic Salary

Rs.5, 000 p.m.

DA (FP)

Rs.1, 000 p.m.

DA (NFP)

Rs.750 p.m.

HRA received

Rs. 1000 p.m.

He claims that he pays a rent of Rs. 300 p.m. Calculate Taxable HRA.
3. Calculate Gross Salary from the following of Mr.Sayeed working in New Delhi.
Basic Salary

Rs.5, 000 p.m.

DA

Rs. 3, 000 p.m. (Does not enter into retirement benefits)

HRA

Rs. 3, 000 p.m. (Rent paid Rs.3, 250 p.m.)

Project Allowance

Rs. 750 p.m.

Medical allowance

Rs. 500 p.m.