The rules for House Rent Allowance (HRA) have been revised by the Department of Expenditure (DoE) under the Ministry of Finance.
As per the latest circular, no HRA will be given to government employees in some cases following the revision of the existing rules.
What Are The Conditions:
A government employee shall not be entitled to HRA if- -He/she shares government accommodation allotted to another government servant.
- He/she resides in accommodation allotted to his/her parents/son/daughter by the Central, State government, an autonomous public undertaking or semi-government organisation such as municipality, port trust, nationalised bank, Life Insurance Corporation of India.
-His/her spouse has been allotted accommodation at the same station by the Central, State government, an autonomous public undertaking or semi-government organisation such as municipality, port trust, nationalised bank, Life Insurance Corporation of India, whether he/she resides in that accommodation or he/she resides separately in accommodation rented by him/her.
Classification Of Cities For Purpose Of Grant Of HRA & Rates
Cities/towns (X) with population criteria of 50 lakhs and above: 24 %
Cities/towns (Y) with population criteria of 5 lakhs to 50 lakhs: 16 %
Cities/towns (Z) with population criteria below 5 lakhs: 8 %
“The rates of HRA will be revised to 27%, 18%, 9% for X,Y,Z class of cities respectively when Dearness Allowance (DA) crosses 25% and further revised to 30%, 20% and 10% when DA crosses 50%,” the notification read.