HRA Exemption Calculator
Calculate House Rent Allowance tax exemption under Section 10(13A) and 80GG
Calculate Your HRA Exemption
Your annual basic salary amount
Annual dearness allowance (optional)
Annual HRA received from employer
Annual rent paid to landlord (₹15,000/month)
Metro cities: Mumbai, Delhi, Kolkata, Chennai
Salary Summary
Basic Pay
₹6,00,000
DA Received
₹0
HRA Received
₹1,20,000
Total Salary
₹7,20,000
HRA Exemption Results (Section 10(13A))
Calculation Breakdown
| 1. Actual HRA Received | ₹1,20,000 |
| 2. Rent Paid - 10% of Salary ₹1,80,000 - ₹72,000 | ₹1,08,000 |
| 3. 50% of Salary 50% × ₹7,20,000 | ₹3,60,000 |
| Minimum of Above (Exempted Amount) | ₹1,08,000 |
Estimated Tax Savings
Tax Savings (30% bracket)
₹32,400
Monthly Rent Paid
₹15,000
About HRA Exemption
Section 10(13A) for employees receiving HRA
Section 80GG for those without HRA from employer
Metro cities get 50% vs 40% for non-metro
Minimum of three calculations applies
Quick HRA Examples
Basic: ₹6L, HRA: ₹1.2L, Rent: ₹1.8L (Metro)
Exemption: ₹1,20,000/year
Basic: ₹5L, HRA: ₹1L, Rent: ₹1.5L (Non-Metro)
Exemption: ₹1,00,000/year
No HRA: Income ₹6L, Rent ₹1.2L (80GG)
Exemption: ₹60,000/year
Basic: ₹8L, HRA: ₹2L, Rent: ₹2.4L (Metro)
Exemption: ₹1,60,000/year
Approximate exemptions for common HRA scenarios
HRA Tips
Keep rent receipts and rental agreement
Provide PAN if rent exceeds ₹1 lakh/year
Can pay rent to parents if not co-owner
Not available under new tax regime
File revised return if missed claiming
Understanding HRA Exemption
What is HRA Exemption?
House Rent Allowance (HRA) exemption allows you to reduce your taxable income if you pay rent for accommodation. The exemption is calculated as the minimum of three specific amounts under Section 10(13A) or Section 80GG of the Income Tax Act.
Section 10(13A) vs 80GG
- •Section 10(13A): For employees receiving HRA from employer
- •Section 80GG: For those not receiving HRA from employer
- •Metro vs Non-Metro: Different percentage calculations apply
- •Documentation: Rent receipts and agreement required
HRA Calculation Formula
HRA Exemption = Minimum of:
- 1. Actual HRA received
- 2. Rent paid - 10% of salary
- 3. 50%/40% of salary (Metro/Non-Metro)
Important Conditions
PAN Requirement: If rent > ₹1 lakh/year
Own House: Cannot claim if living in owned property
New Tax Regime: HRA exemption not available
Documentation: Rent receipts, agreement, PAN details
Metro Cities Definition
Metro cities include Mumbai, Delhi, Kolkata, and Chennai. These cities qualify for 50% of salary calculation instead of 40% for non-metro cities. The higher percentage reflects the increased cost of living in these metropolitan areas.