A SHORT GUIDE TO RENT RECEIPT
A receipt is a note or memorandum or writing to acknowledge any money, cheque, bill of exchange or any promissory note that has been received . According to the Indian Stamp Act a duly stamped receipt has to be provided to the person demanding for it in the following cases:
- If a person receives money or bill of exchange of more than Rs.500.
- If a person receives cheque or promissory note for the amount more than Rs.500.
- If a person receives satisfactory or part satisfactory debt.
- The value of any movable property more than Rs.500.
Registration is only necessitated if the amount of interest from an immovable property created by the receipt is of Rs.100 or exceeding it.
Rent Receipt is a document acting as the evidence for the rental payment by the tenant to the landlord of the property. It assists to trace the due payments and to keep the record of the received payments. It comprises of information related to the amount of the payment of rent, the date for receiving the payment and the mode of the payment (cash, electronic funds transfer or cheque).
Employers are entailed to have the proof prior to allowing HRA exemption and thus are demanded by the employers in India. If the amount paid to the tenant exceeds Rs. 1 lakh, it becomes necessary to acquire PAN of the landlord. HRA exemption is claimed by the employer after reporting.
Rent Receipt – Format Sample
For more articles, visit Company Vakil.