HRA Deduction ( metro / non metro city )
Hi All
Please help me out
Our company is situated at mumbai,
& we are providing hra deduction to all employees @ 50% of basic salary as pe income tax laws as the mumbai is metro city,
Now one of the employee produced rent receipts for his stays at rental house in Thane ( which is non-metro city ),
Please let me know wheather we give him deduction of hra @ 50% of basic salary ( as our company is situated at Metro city )
Or wheather we give him deduction of hra @ 40% of basic salary ( as he is from Thane - NON - METRO city )
Please help me its urgent