In a big relief for Indian Armed Forces personnel, the government has decided to do away with the requirement of producing No Accommodation Certificate (NAC) for availing the House Rent Allowance (HRA).
The proposal to dispense with furnishing of NAC to become eligible for HRA was approved by Defence Minister Rajnath Singh with an aim to ensure the welfare of Armed Forces personnel, according to a Defence Ministry release.
The personnel, who have not been allotted government accommodation, will now be able to draw HRA without the requirement to produce NAC, the release added.
Under the existing policy, personnel had to apply separately for issuing of NAC from the concerned accommodation offices, which resulted in delays in processing the claims for HRA and the allowance was paid to personnel after considerable time. This, at times, caused avoidable financial hardship to the personnel.
The revised policy is a significant step in line with government’s policy for simplification of the existing procedures, the ministry said, adding that it will result in reduction in paper work and enable faster disbursement of the HRA to the Armed Forces personnel.