HRA Exemption Calculator
Enter your salary details and rent to find how much of your HRA is exempt from income tax — and how much is taxable.
Runs entirely in your browser — your numbers never leave this page.
How it works
Under section 10(13A), the exempt HRA is the least of these three:
Exempt = min(Actual HRA received, 50% of Basic+DA if metro / 40% if non-metro, Rent paid − 10% of Basic+DA)
- Metro cities (for this purpose): Delhi, Mumbai, Chennai, Kolkata — 50% limit.
- All other cities: 40% limit.
- The remainder of your HRA is added to taxable salary.
- This exemption exists only in the old tax regime — the new regime does not allow it.
Frequently asked questions
What is the HRA exemption formula?
The exempt amount is the least of: (1) actual HRA received, (2) 50% of basic+DA for metro cities or 40% for other cities, (3) rent paid minus 10% of basic+DA. Everything above the least is taxable.
Which cities count as metro for HRA?
Only Delhi, Mumbai, Chennai and Kolkata get the 50% limit. Everywhere else — including Bengaluru, Hyderabad and Pune — uses 40%.
Can I claim HRA if I live with my parents?
Yes, if you genuinely pay them rent — keep a rent agreement and payment proof. Your parents must declare the rental income in their return. Fake rent claims to parents are a classic scrutiny trigger.
What proof do I need for HRA?
Rent receipts for the year. If your annual rent exceeds ₹1 lakh, you must also report your landlord’s PAN to your employer.
Can I claim HRA and home-loan benefits together?
Yes, if the situations are genuine — for example, you own a house in one city (claiming home-loan interest/principal) while renting in another city where you work. Claiming both for the same house invites questions.
Is HRA exemption available in the new tax regime?
No. The new regime disallows HRA exemption along with most other deductions. Compare both regimes before choosing.
My rent is less than 10% of my basic — do I get any exemption?
The third leg (rent − 10% of basic) becomes zero or negative, so the exempt amount can drop to zero. In that case your full HRA is taxable.
Do I submit proofs to my employer or claim in ITR?
Submit rent receipts and the landlord’s PAN (if applicable) to your employer so less TDS is cut. If you missed it, you can still claim the exemption while filing your ITR.
Can my employer reject my HRA claim?
Yes, if your proofs are inadequate — missing receipts, no PAN for high rent, or rent paid in cash without a trail. Keep bank-transfer records.
I forgot to submit rent proofs this year. Is the exemption lost?
No. Your employer may have cut higher TDS, but you can claim the full eligible HRA exemption in your income tax return and get the excess TDS refunded.