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HRA Exemption Calculator

Work out how much of your House Rent Allowance is tax-exempt under the old regime — it's the least of three amounts.

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HRA Calculator

₹ / month
₹ / month
₹ / month
City
From 1 April 2026: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad.
Exempt HRA this year
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Monthly – exempt · – taxable
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Taxable HRA / year
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Rent that maxes it out
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The three limits — you get the lowest
Good to know

    Educational estimate, not financial or tax advice. Returns are never guaranteed. Everything is calculated in your browser.

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    About the HRA Calculator

    House Rent Allowance (HRA) is a salary component that helps cover your rent, and part of it is tax-exempt under Section 10(13A) if you actually pay rent. The exemption is not simply the HRA you receive — it is the lowest of three limits, so this calculator finds all three and picks the smallest.

    The exempt amount is the minimum of: (1) the actual HRA received; (2) rent paid minus 10% of salary; and (3) 50% of salary if you live in one of the eight listed cities (Delhi, Mumbai, Kolkata, Chennai and, from April 2026, Bengaluru, Hyderabad, Pune and Ahmedabad) or 40% otherwise. Salary here means Basic + DA. Enter monthly figures and the tool shows both monthly and yearly exempt and taxable HRA. Whatever is not exempt is added to your taxable income.

    This is an estimate. The HRA exemption is available only under the old tax regime — the new regime does not allow it — and your specific figures should be confirmed with your employer or a tax adviser. All maths runs in your browser.

    Examples

    Basic ₹40,000, HRA ₹20,000, rent ₹18,000, metro → exempt ₹14,000/month.
    Same salary but rent ₹5,000 → the rent-minus-10% limit bites, cutting the exemption sharply.
    Non-metro toggle lowers the 40% cap, which can reduce the exempt amount for high earners.

    The three-part HRA exemption rule

    #Amount consideredNotes
    1Actual HRA received from employerAs per your salary structure
    2Rent paid − 10% of basic salary'Basic' usually includes dearness allowance
    350% of basic (8 cities) / 40% (elsewhere)Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad

    Your exemption is the smallest of the three. Example: basic ₹40,000/month, HRA ₹20,000, rent ₹18,000, in a metro. (1) ₹20,000; (2) 18,000 − 4,000 = ₹14,000; (3) 50% of 40,000 = ₹20,000. The least is ₹14,000, so ₹14,000 of your monthly HRA is exempt and the remaining ₹6,000 is taxable.

    HRA exemption applies under the old regime only. Verify specifics with a tax advisor.

    Frequently asked questions

    10 answers
    Which cities count as metro for HRA?
    For HRA, the 50% limit applies in eight cities from 1 April 2026 — Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad. All other cities use the 40% limit.
    Can I claim HRA under the new tax regime?
    No. The HRA exemption is available only under the old regime. If you opt for the new regime, HRA is fully taxable.
    Do I need rent receipts?
    Yes. To claim the exemption you must actually pay rent and keep proof such as receipts, and a rent agreement and landlord PAN may be required above certain amounts.
    Can I claim HRA if I live with my parents?
    Yes, if you genuinely pay them rent and they declare it as income. The arrangement should be real and documented.
    What salary figure should I use?
    Use Basic pay plus Dearness Allowance, entered as a monthly figure. Other allowances are excluded from the HRA calculation.
    How is HRA exemption calculated?
    The exemption is the least of three figures: (1) the actual HRA received, (2) rent paid minus 10% of your basic salary, and (3) 50% of basic salary if you live in a metro city, or 40% if non-metro. This calculator computes all three and takes the lowest, which is your exempt amount.
    Which cities get the 50% HRA limit?
    From 1 April 2026 (Income-tax Rules 2026, notified 20 March 2026) the 50% limit applies in eight cities: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad. Everywhere else the limit is 40% of basic salary. Until March 2026 only the first four counted.
    Can I claim HRA under the new tax regime?
    No. The HRA exemption is available only under the old tax regime. If you opt for the new regime, HRA is fully taxable — which this calculator helps you weigh when comparing regimes.
    Do I need rent receipts or a landlord's PAN?
    Employers generally require rent receipts to allow the exemption, and if your annual rent exceeds ₹1,00,000 you must report the landlord's PAN. Keep documentation even though the calculation itself only needs the amounts.
    Is my salary data uploaded?
    No — the calculation runs entirely in your browser.