India · Income tax
HRA exemption calculator.
The exempt part of House Rent Allowance is the lowest of three amounts. Enter your figures to see which one binds and how much HRA is taxable.
Exempt HRA = the least of (1) HRA actually received, (2) rent paid minus 10% of salary, and (3) 50% of salary in the 50% cities or 40% elsewhere. With ₹6,00,000 salary, ₹2,40,000 HRA and ₹3,00,000 rent in a 50% city, all ₹2,40,000 is exempt.
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Result
Fill the form and press Calculate HRA exemption.
Worked example
Basic salary ₹6,00,000 a year, HRA received ₹2,40,000, rent paid ₹3,00,000, 50% city. (1) HRA received = ₹2,40,000. (2) Rent minus 10% of salary = ₹3,00,000 − ₹60,000 = ₹2,40,000. (3) 50% of salary = ₹3,00,000. The least is ₹2,40,000, so the whole HRA is exempt. With rent of ₹1,20,000 instead, (2) falls to ₹60,000 and only ₹60,000 is exempt, leaving ₹1,80,000 taxable.
Rules
The Income Tax Department’s guidance gives the exempt amount as the minimum of: HRA actually received; actual rent paid minus 10% of salary; and 50% of salary in Delhi, Mumbai, Kolkata or Chennai, otherwise 40%. Salary here is basic pay plus dearness allowance that forms part of retirement benefits, plus turnover-based commission. The exemption needs rent actually paid on accommodation you do not own.
New regime: the Income Tax Department’s FAQs state the HRA exemption under section 10(13A) is not available in the new regime. If you pick the new regime, all HRA is taxable. Use the old vs new regime calculator and enter the exempt figure from this tool as part of your deductions. Rent-receipt, landlord PAN and relationship-disclosure requirements are not checked here.
Sources
Figures were read from these official pages in October 2026 (retrieved 15 October 2026). This tool is an independent estimate: it does not query any government system, is not affiliated with any tax authority, and does not verify anything with one. For a figure you will rely on, use the authority’s own calculator or tables.
- Income Tax Department: allowances (House Rent Allowance, section 10(13A))
- Income Tax Department: FAQs on new vs old tax regime
- Income Tax Department: standard deduction for salaried employees
FAQ
How is HRA exemption calculated?
It is the lowest of HRA received, rent paid minus 10% of salary, and 40% of salary (50% in the listed metro cities). The rest of the HRA is taxable.
Which cities count for 50% of salary?
The Income Tax Department guidance names Delhi, Mumbai, Kolkata and Chennai. Rules can change the list, so confirm your city on the current rules before choosing 50%.
Can I claim HRA in the new tax regime?
No. The Income Tax Department states the section 10(13A) exemption is not available in the new regime.
What counts as salary for HRA?
Basic pay plus dearness allowance that counts for retirement benefits, plus commission based on a fixed percentage of turnover. Other allowances and perquisites are excluded.