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HRA Calculator

Find out how much of your House Rent Allowance is exempt from income tax, based on your salary, HRA received, rent paid and city.

How to use HRA Calculator

  1. 1Enter your basic salary and HRA received (monthly or annual, consistently).
  2. 2Enter the actual rent you pay.
  3. 3Select whether you live in a metro city.
  4. 4View your exempt HRA amount and the taxable portion.

About HRA Calculator

House Rent Allowance (HRA) exemption under Section 10(13A) of the Income Tax Act is the least of three amounts: actual HRA received, rent paid minus 10% of basic salary, or 50% of basic salary (metro cities) / 40% (non-metro cities).

HRA Exemption Formula

Exempt HRA = min(Actual HRA, Rent Paid − 10% of Basic, 50%/40% of Basic)

The exemption is the smallest of the three values. The 50% rate applies to metro cities (Delhi, Mumbai, Kolkata, Chennai); 40% applies elsewhere.

Benefits

  • Estimate your HRA tax exemption before filing returns or submitting investment declarations.
  • Understand which of the three conditions is limiting your exemption.

Common mistakes

  • Forgetting that HRA exemption applies only under the old tax regime.
  • Not keeping rent receipts, which are typically required to claim this exemption.

Frequently Asked Questions

No, HRA exemption is available only under the old tax regime. The new regime does not allow this deduction.

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