HRA Calculator – House Rent Allowance Exemption
House Rent Allowance is partially exempt from income tax under section 10(13A), but only the least of three limits counts: the actual HRA received, rent paid minus 10% of basic salary, or 50% of basic (metros) / 40% (other cities). This calculator applies all three and shows you the winner.
The formula
Exempt = min(HRA received, rent − 10% basic, 50%/40% basic)
FAQ
Can I claim HRA if I live in my own house?
No — HRA exemption requires actual rent paid. If you own your home and pay no rent, the full HRA is taxable (though you may claim home loan deductions instead).
Do I need rent receipts to claim HRA?
If annual rent exceeds ₹1 lakh, your employer needs the landlord’s PAN; otherwise rent receipts suffice. Claiming without genuine rent paid can trigger scrutiny.
Does HRA exemption apply in the new tax regime?
For most salaried taxpayers under the new regime, HRA exemption is not available — it mainly benefits those in the old regime.