Admissibility of HRA in the event of non- acceptance/surrender of Railway residential accommodation
MINISTRY OF RAILWAYS
All Indian Railways
and Production Units etc.
Sub: Admissibility of HRA in the event of non- acceptance/surrender of Railway residential accommodation.
A reference from North Western Railway was received for clarification on the issue of admissibility of HRA in the event of non-acceptance/surrender of railway residential accommodation by a railway employee. The matter was examined and considered in this office in the light of policy guidelines on the issue in consultation with the Finance Directorate of Railway Board. In this connection, it is stated that the provisions of letter No. E(P&A)II-87/HRA-15 dated 16.05.1988 still hold good regarding admissibility of House Rent Allowance (HRA) in the event of non¬acceptance/surrender of Railway residential accommodation. However, refusal by a Railway servant of a quarter of a different class from that for which he is eligible shall not constitute refusal for the purpose of these orders unless he has the option to apply for accommodation of a class next below the one to which he is entitled by virtue of his emoluments and he refuses such accommodation when allotted on the basis of his application.
2. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.
3. Please acknowledge receipt.