HRA Exemption Calculator
Find out how much of your House Rent Allowance is exempt from income tax under the old regime.
HRA Exempt
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HRA Taxable
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How the HRA calculator works
Enter your annual basic + DA, the HRA you receive, the rent you pay, and whether you live in a metro. The calculator computes all three statutory limits and exempts the smallest one — the standard method used in tax filing.
Maximising your HRA benefit
HRA exemption rewards a higher basic salary and genuinely-paid rent. If your rent exceeds ₹1 lakh a year, you must report your landlord's PAN. Because HRA only works in the old regime, always compare your total tax both ways before deciding which regime to opt for.
Frequently Asked Questions
How is HRA exemption calculated?
The exempt HRA is the least of three amounts: (1) actual HRA received; (2) 50% of basic+DA for metro cities or 40% for non-metros; and (3) rent paid minus 10% of basic+DA. The smallest of these is exempt from tax; the rest is taxable.
Which cities count as metro for HRA?
Only Delhi, Mumbai, Kolkata, and Chennai are treated as metros (50% of basic). All other cities, including Bengaluru, Hyderabad, and Pune, are non-metro (40%).
Can I claim HRA in the new tax regime?
No. The HRA exemption is only available under the old tax regime. If you claim a large HRA exemption, factor that in when comparing old vs new with our income tax calculator.
Can I claim HRA if I live with my parents?
Yes, if you genuinely pay rent to your parents who own the home — keep rent receipts and ideally a rental agreement, and your parents must report it as income. You cannot claim HRA for a home you own.
Disclaimer: This calculator produces illustrative estimates only. Actual returns vary and, unless stated otherwise, results exclude expense ratios, exit loads, transaction costs, and taxes. Assumed rates are inputs, not forecasts or assured returns. This is educational content, not personalized investment advice — see our full disclaimer.