New Tax Rules Require Disclosure of Relationship for HRA Claims on Rent to Relatives

From April 2026, salaried individuals claiming House Rent Allowance (HRA) for rent paid to relatives must disclose their relationship with the landlord if annual rent exceeds Rs 1 lakh. The draft Income Tax Rules, 2026 require details such as the landlord's name, address, PAN, and valid rental agreements with rent paid through proper banking channels. This aims to enhance transparency and prevent misuse of HRA claims, while allowing genuine family rental arrangements to continue under closer tax scrutiny.