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Tax Calculators

HRA Exemption Calculator

Work out the HRA exemption using the least-of-three rule.

Enter your details

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DA only if it forms part of retirement benefits; commission on fixed % of turnover also counts.
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Use fewer months if you changed jobs or moved during the year.
Rules may recognise more cities as metro; confirm the current list on incometax.gov.in.
Estimate only. Results depend on the inputs and the rules and rates described below. Verify with the official source or a professional before filing or investing; this is not tax, legal or investment advice.

How it is calculated

Exempt HRA = least of (1) actual HRA received, (2) rent paid − 10% of basic salary (+DA), (3) 50% of basic for metro cities or 40% for others. Taxable HRA = HRA received − exempt HRA. All amounts are for the months you actually paid rent.

Worked example

Basic ₹50,000, HRA ₹20,000, rent ₹22,000 per month, metro, 12 months: (1) 2,40,000; (2) 2,64,000 − 60,000 = 2,04,000; (3) 50% × 6,00,000 = 3,00,000. Exempt HRA = ₹2,04,000; taxable HRA = ₹36,000.

About the HRA Exemption Calculator

Work out the HRA exemption using the least-of-three rule. This free tax tool runs entirely in your browser: nothing you type is sent to a server, and you can save, print or download the result.

What you need to enter

You will be asked for monthly basic salary + da, monthly hra received, monthly rent paid, months of rent paid in the year, city where you live. Fields marked * are required. Every field shows a hint and the allowed range.

How to use it

  1. Fill in the inputs (sample values are pre-filled so you can see how it works).
  2. Press Calculate to see the result, breakdown and chart.
  3. Use Print, Download PDF or Share to keep the result, or come back to it from your saved history.

Who it helps

Salaried individuals, business owners, investors and professionals who want a quick, transparent estimate before they file, invest or plan. If your case has special facts, our team can review it - ask for a consultation.

Results are estimates based on the rules and rates described under "How it is calculated". Laws change and individual facts differ, so confirm with official sources or a qualified professional before acting. This is not tax, legal or investment advice.

Frequently asked questions

Can I claim HRA in the new tax regime?

No. HRA exemption under section 10(13A) is available only if you opt for the old regime. If your rent is high and deductions are many, run the Old vs New Regime Calculator before deciding.

What if I live in my parents' house?

You can pay rent to your parents and claim HRA if the payment is genuine, documented by bank transfer and the parents show it as rental income in their return. Rules are strict about sham arrangements.

I do not receive HRA from my employer. Can I claim anything?

Self-employed people and employees without an HRA component may claim a deduction under section 80GG, subject to conditions and limits (old regime only).

Does basic salary include allowances?

Only basic salary, dearness allowance if it counts for retirement benefits, and commission fixed as a percentage of turnover. Special allowances and bonuses are not included.

Need help beyond the calculator?

Talk to our tax and compliance team for advice based on your documents.

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