HRA Exemption Calculator for Salaried Employees
Calculate HRA exemption using the least-of-three rule for metro and non-metro cities.
HRA Exemption Calculator
Indicative estimate. Verify with official sources.
Optimise your salary tax
Rent receipts, landlord PAN and regime choice all affect your HRA benefit. Let us review your salary structure.
The HRA rule
The exempt HRA is the least of: (A) actual HRA received, (B) rent paid minus 10% of basic salary plus DA, and (C) 50% of basic+DA in metro cities or 40% in others. HRA exemption is for the old regime.
Documents
- Rent receipts or rent agreement
- Landlord PAN if annual rent exceeds ₹1 lakh
- Proof of payment (bank transfer)
Rules from tax year 2026-27
Under the new Income-tax Rules, 2026, HRA provisions have been refreshed (including disclosure of the landlord relationship). Confirm metro classification and conditions for tax year 2026-27 with an expert.
HRA Exemption Calculator FAQs
Is Bengaluru a metro for HRA?
Under the long-standing rule, only Delhi, Mumbai, Kolkata and Chennai count as metros for the 50% limit. Check updates for tax year 2026-27.
Can I claim HRA if I live with my parents?
Yes, if you actually pay rent to them and they declare it as income. Genuine documentation is essential.
Is HRA available in the new regime?
No. HRA exemption applies under the old regime.
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