Tag: Form 124

Landlord’s PAN for HRA Exemption: When It Is Mandatory

Posted on by CA Meet Dhrangadhariya

Last updated: 06 September 2026 · Written and reviewed by CA Meet Dhrangadhariya, CSM & Co LLP

Quick summary

  • You must give your landlord’s PAN to your employer if the rent you pay in the year is more than ₹1,00,000 (about ₹8,333 a month).
  • If the landlord has no PAN, a declaration from the landlord with name and address is accepted.
  • Form 124 (earlier Form 12BB) asks for the landlord’s name, address, PAN, Aadhaar, relationship and rent paid; Aadhaar is not mandatory unless your employer asks.
  • The HRA exemption is only for the old tax regime. Rent paid to a spouse is not accepted, and rent to parents needs them to report the income.

If you claim the HRA exemption and pay a high rent, you must give your employer the landlord’s PAN. The rule is meant to make sure the rent is real and that the landlord reports it as income.

The rule

  • If the rent you pay in the year is more than ₹1,00,000 (about ₹8,333 a month), the landlord’s PAN must be given. The Income Tax Department’s FAQ on Form 124 says the PAN must be furnished if the annual rent exceeds ₹1,00,000.
  • If the rent is ₹1,00,000 or less, the PAN is not required, but you still give the landlord’s name and address.
  • Aadhaar is not mandatory unless your employer specifically asks for it.

If the landlord has no PAN

Get a declaration from the landlord that they do not have a PAN, stating their name and address, as allowed by CBDT Circular 8/2013 dated 10/10/2013. Give it to your employer with your other documents. The declaration should be from the landlord, not from you.

Where do you give it?

In Form 124, the statement to your employer. Up to FY 2025-26 this was Form 12BB. For HRA it asks for:

  1. Name of the landlord.
  2. Address.
  3. PAN.
  4. Aadhaar number.
  5. Relationship with the landlord, if any.
  6. Rent paid to the landlord.

A copy of the rent agreement is the supporting document. Form 124 is given to your employer. It is not uploaded on the income tax portal.

Other conditions for the HRA exemption

  • You must be getting HRA from your employer and be in the old tax regime.
  • You must actually pay rent for a house that you do not own.
  • Rent paid to your spouse is not accepted. If you pay rent to your parents, they must own the house and show the rent as income in their return.
  • The exemption is the lowest of the HRA received, 50% (eight metro cities) or 40% of salary, and rent paid less 10% of salary.

Documents to keep

  • Rent agreement.
  • Rent receipts or, better, bank proof of payment each month.
  • Landlord’s PAN or the landlord’s no-PAN declaration.
  • Salary slips showing HRA.

If you do not give the proof

  • Your employer can refuse the exemption and deduct higher TDS.
  • You can still claim the exemption in your return if you have the proof, and get a refund of the excess TDS.
  • A claim without proof may be questioned by the department.

TDS on rent is a separate matter

The tenant’s own TDS duty on rent is different from the HRA rule. For example, an individual paying rent above ₹50,000 a month must deduct tax at source on it (section 194-IB of the 1961 Act, with a new section number in the 2025 Act). Check the current rate and conditions with your professional.

Frequently asked questions

When is landlord PAN required for HRA?

When the rent you pay in the year is more than ₹1,00,000, that is above about ₹8,333 a month.

What if the landlord does not have a PAN?

Give your employer a declaration from the landlord that they do not have a PAN, along with their name and address.

Is Aadhaar required?

Form 124 asks for the landlord’s Aadhaar, but it is not mandatory unless your employer specifically asks for it.

Can I claim HRA without giving rent proof?

Your employer may refuse the exemption and deduct more TDS. You can still claim it in your return if you have the proof.

Is the HRA exemption available in the new tax regime?

No. It is available only in the old tax regime.

Official sources

Related reading

Disclaimer

This article is for general informational purposes only and should not be considered professional advice. Please consult a qualified expert for advice tailored to your specific situation. The author and website owner are not liable for any errors or actions based on this content.

Form 124 (Earlier Form 12BB): What It Is and How to Fill It

Posted on by CA Meet Dhrangadhariya

Last updated: 05 August 2026 · Written and reviewed by CA Meet Dhrangadhariya, CSM & Co LLP

Quick summary

  • Form 124 is the statement an employee gives the employer to claim HRA, LTA, home loan interest and Chapter VIII deductions while TDS is calculated. It replaces Form 12BB from 01/04/2026.
  • It has Part A (your details) and Part B (claims and evidence), and is filed once a year with the employer. It is not uploaded on the income tax portal.
  • For HRA you give the landlord’s name, address, PAN, Aadhaar, relationship, if any, and the rent paid. Landlord PAN is a must if yearly rent exceeds ₹1,00,000.
  • If you do not submit it, the employer deducts TDS without allowing any deduction or exemption.

How to submit Form 124 to your employer

1. Check your salary structure for HRA and LTA
↓
2. Collect rent agreement, travel proofs, loan and investment documents
↓
3. Fill Part A with your name, address, PAN, contact details and tax year
↓
4. Fill Part B with the claims you want considered
↓
5. Sign the declaration and hand it to your employer, online or on paper

Every year your employer deducts tax at source (TDS) from your salary. To deduct the right amount, the employer needs to know about your rent, travel, home loan and investments. You tell the employer through a statement. Until 31/03/2026 this was Form 12BB. From 01/04/2026 under the Income-tax Rules, 2026 it is Form 124.

Form 12BB and Form 124 side by side

Old New
Form Form 12BB Form 124
Rule Rule 26C, Income-tax Rules, 1962 Rule 205, Income-tax Rules, 2026
Section Section 192 of the 1961 Act Section 392(5)(b) of the Income-tax Act, 2025

Who files it, and when?

An employee gives it to the current employer, once every financial year, as early as possible so the TDS is calculated correctly. It is only needed if you want your claims considered. If you do not submit it, the employer deducts TDS without allowing any deduction or exemption, and you can claim them later in your own return.

If you change jobs in the year, give the new employer your details of income and TDS from the old employer (Form 122), along with a fresh Form 124.

What does the form contain?

Part A: employee details. Name, address, PAN, email id, contact number and tax year.

Part B: claims and evidence.

  1. House rent allowance: name and address of the landlord, landlord’s PAN, Aadhaar, relationship with the landlord (if any) and the rent paid. Give a copy of the rent agreement.
  2. Leave travel concession or assistance: the travel details, with documents supporting the claim.
  3. Interest on borrowing: name and address of the lender, lender’s PAN where available and the interest paid or payable. Give a copy of the loan agreement.
  4. Deductions under Chapter VIII (A and B): the sections you claim, for example section 123 (the old section 80C), section 124 (NPS), section 129 (education loan interest), section 130, section 131 and section 153 (interest on deposits), with proofs.
  5. Other details as an annexure.

Then comes your declaration that the information is complete and correct.

Landlord PAN

The PAN of the landlord must be furnished if the rent in the year is more than ₹1,00,000. Aadhaar is not mandatory unless your employer asks for it.

Do I file it on the portal?

No. Form 124 goes to your employer, electronically or on paper. It is not uploaded separately on the income tax portal.

Before you fill it

  • Check that HRA and LTA are part of your salary structure. If they are not, there is nothing to claim.
  • Collect the rent agreement and rent receipts, travel tickets, the home loan interest certificate and the investment proofs.
  • Remember that most of these claims work only in the old tax regime. Tell your employer which regime you choose.

Documents you may need

Claim Supporting document
House rent allowance Rent agreement, rent receipts or bank proof, landlord’s PAN if rent is above ₹1,00,000 a year
Leave travel allowance Tickets, boarding passes or invoices
Home loan interest Loan agreement and the lender’s interest certificate
Section 123 items: PPF, ELSS, life insurance, tax-saver FD, NSC, tuition fees Receipts, certificates, passbook
Health insurance premium (80D) Premium receipts
Education loan interest Lender’s certificate showing interest paid
Disability deductions Medical authority’s certificate
Donations Valid receipts in your name

A few tips

  • If you pay rent to your parents, make the payments by bank transfer and ask them to show it as income in their return.
  • Do not submit false rent receipts. It can lead to action by the tax department.
  • Declare only what you really expect to spend. If you do not invest later, your TDS may be short and you will pay more tax when you file.
  • You can still claim missed deductions in your return, so do not worry if you could not give every proof to your employer.

Frequently asked questions

What is Form 124?

A statement showing particulars of claims by an employee for deduction of tax at source under section 392(5)(b) of the Income-tax Act, 2025, read with Rule 205 of the Income-tax Rules, 2026. It replaces Form 12BB.

Is Form 124 compulsory?

No. You file it only if you want the employer to consider your deductions and exemptions while computing TDS.

Do I upload Form 124 on the income tax portal?

No. You give it to your employer, in electronic or physical form.

Is landlord PAN compulsory?

Yes, if the yearly rent exceeds ₹1,00,000. Aadhaar is not compulsory unless the employer asks for it.

Do I need Form 124 for the standard deduction?

No. The standard deduction is allowed in every case.

Official sources

Related reading

Disclaimer

This article is for general informational purposes only and should not be considered professional advice. Please consult a qualified expert for advice tailored to your specific situation. The author and website owner are not liable for any errors or actions based on this content.