What is Form 10BA?
Form 10BA is a declaration to be filed by a taxpayer who wants to claim a deduction under section 80GG for rent paid on rental property. In order to claim deduction u/s 80GG following two conditions should be satisfied:
- The taxpayer can be either self-employed or salaried but not receiving HRA from an employer AND,
- The taxpayer, his spouse, minor child or if the assessee is a member of HUF, then the HUF should not own any self-occupied residential accommodation.
If both the above conditions are satisfied, then the taxpayer can submit such a declaration.
Other important ITR documents include Form 16, Form 26AS, Form 12BB, Form 15G & Form 15H.
- Taxpayer’s Name and PAN,
- Address of the rental property,
- Rental Details,
- Name and Address of Landlord.
Let’s understand with an example
During FY 2019-20, Arun was employed for the first 6 months and after that, he started doing freelancing work. Arun stayed at rented premises for the entire year. During his employment he received HRA. He does not own any self-occupied house property.
In the above scenario, Arun is eligible to claim a deduction under section 80GG and can file Form 10BA for the last 6 months’ rent paid by him. Since he was not receiving any house rent allowance during that time and he did not own any self-occupied property.
When to file Form 10BA?
It is mandatory to file Form 10BA before filing the ITR in order to claim a deduction under section 80GG for the rent paid.
How to file Form 10BA online?
A taxpayer has to submit the form online on the e-filing portal. Following are the steps to file Form 10BA.
- Go to the Income Tax e-Filing Portal and login to your account by entering your User ID/ PAN/ TAN and password
- On the dashboard navigate to e-file > Income Tax Forms> File Income Tax Forms
- Search for Form 10BA under the category “Person not dependent on any Source of Income” and click on “File Now”
- Select the relevant assessment year and click “Continue” and on the next screen click on “Let’s Get Started”
- Provide details for each selection> Click on House Property Details> Enter the required details like the Address of the rented property, Name and address of the Landlord, Details of Rent Paid etc. and click Save
- Now click on Declaration> select the check box> click Save
Preview and proceed to e-verify> select mode of e-verification and Submit> Form 10BA will be filed and e-verified successfully.
FAQs
No. As per primary conditions, you can not claim a deduction on rent paid if you receive an allowance from your employer. In this case, only HRA exemption can only be claimed from Salary.
Yes, you can claim a deduction under section 80GG for rent paid and file Form 10BA. Provided you, your spouse, a minor child or your HUF does not own any self-occupied residential accommodation.
You can claim a deduction u/s 80GG while filing your ITR. However, Form 10BA needs to be filed before filing ITR.