HRA exemption glitch in ITR utility: What salaried taxpayers must do

The income tax department’s ITR utilities for Assessment Year 2025-26, released late last week, are facing a critical glitch that could impact lakhs of salaried taxpayers claiming House Rent Allowance (HRA) exemption.

Himank Singla, a chartered accountant, flagged the issue on X, highlighting that the utility wrongly asks taxpayers to enter their “place of work” instead of “place of residence” to compute HRA exemption under Section 10(13A). “If you live in a metro but work in a non-metro, entering your work city will reduce your exemption incorrectly and vice versa,” Singla wrote.

Read more at: Business Standard