ITR

Deductions and HRA questioned in scrutiny

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The officer can ask for proof of every deduction and exemption you claimed. Without proof, the claim can be disallowed and penalty proposed.

Provisions

Sec 80C, Income-tax Act 1961 (now Sec 123, Income-tax Act 2025); Sec 10(13A), Income-tax Act 1961 (now Sec 11 (Schedule III, Table Sl. No. 11), Income-tax Act 2025); Sec 270A, Income-tax Act 1961 (now Sec 439, Income-tax Act 2025)

Analysis

Give premium receipts, PPF passbook pages, ELSS statements, tuition fee receipts and rent receipts with the landlord's PAN where rent exceeded ₹1 lakh. Show rent was actually paid through bank transfers. Rent paid to a parent is possible but needs real payment and the parent showing it as income. Fake rent receipts are a common reason for penalty.

Close

  1. List each deduction and exemption claimed.
  2. Attach proof of payment for each.
  3. For HRA, attach rent agreement, receipts and bank proof.
  4. Withdraw any claim you cannot support.

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