If you are self-employed and are making payments towards rent for an unfurnished or furnished residential accommodation that you occupy, you can claim a tax deduction for the house rent paid under Section 80GG even if you do not obtain an HRA component with your salary.
Section 80GG depicted under the Income Tax Act 1961, allows self-employed individuals and those working in unorganised sectors (such as a pharmacist or petrol pump servicemen) to claim an additional deduction of up to Rs. 60,000 for the house rent paid. Here are some conditions that you must fulfil to claim deduction under Section 80GG:
• You are salaried or self-employed
• At any time during the year for which you are filing to avail tax benefits, you haven’t received HRA
• You, your spouse and your minor child or the HUF of which you are a member, don’t own any residential accommodation at the place where you reside and are employed at present to perform office duties or carry on business
Furthermore, you need to fill and submit the Form 10BA by yourself. This form which applies to a section of individuals, who wish to claim tax deductions under section 80GG.