Is 30% deduction allowed on net rent income in the new tax regime?

Ans: Person earning rent income gets 30% deduction and same will continue under new regime along with interest on housing loan for rented property. Under new tax regime, interest on self occupied and deemed let out property is not allowed.

Ans: Yes, interest deduction against rent income is allowed even in new tax regime. It is standard deduction so doesn't require any proof.

Ans: Yes, you can offer rent income of Rs.8,34,000 on property owned by you and claim standard deduction of 30%.

Ans: To claim HRA exemption, you must receive house rent allowance as part of salary structure and submit relevant details/documents to employer.

Ans: No, leased rental value (LRV) for 2 years does not qualify for an income tax rebate or exemption similar to House Rent Allowance (HRA).

Here's the key difference:

HRA: This allowance you receive from your employer specifically for covering your rent expenses. The Income Tax Act allows you to claim a deduction for this HRA amount against your salary income, subject to certain conditions.
Leased Rental Value (LRV): This is a notional rent determined by the tax authorities for certain types of self-occupied properties. While the LRV gets added to your income for tax purposes, there's no separate deduction available for it.
Tax Treatment of Leased Rental Value:

The LRV amount for your self-occupied property gets added to your income from other sources.
You can, however, claim standard deductions on the LRV to reduce your taxable income. This standard deduction is typically 30% of the gross value of the property (including municipal taxes paid).
Here are some additional points to consider:

If you actually pay rent for the property you reside in (not self-occupied), you might be eligible to claim HRA from your employer and get a tax benefit on the rent paid.
It's advisable to consult a tax advisor for a more precise assessment of your tax situation based on all your income sources and deductions applicable.
Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in