Income Tax Calculator
Compare old vs new regime tax for FY 2025-26 with slab-wise breakup, rebate, surcharge, and cess.
UseTax & Salary
HRA Calculator India
Enter basic salary, HRA received, rent paid, and city type to instantly see your claimable HRA exemption, taxable HRA, and estimated tax saving.
Step 1
Salary & rent details
City typeMetro means Delhi, Mumbai, Kolkata, or Chennai only.
Tax regimeHRA exemption is available only under the old regime.
Step 2
Old regimeYour HRA exemption
Claimable HRA exemption₹2,40,000Lowest of the three HRA rules. 100% of your HRA is tax-free.
Taxable HRA₹0
Monthly exemption₹20,000
Estimated tax saving₹49,920At your 20% slab plus 4% cess.
Your income tax slabNot sure? In the old regime, taxable income ₹5–10L falls in the 20% slab and above ₹10L in the 30% slab.
Copies the exemption and opens the Income Tax Calculator in a new tab, where it belongs in the “HRA exemption” field.
Step 3
Lowest value winsRule-wise breakup
Your exemption is the lowest of these three amounts. The other two rules show how much headroom you have if your rent or salary structure changes.
Step 4
What this means
Your entire HRA is exempt from tax.Actual HRA received is the lowest of the three rules, so the full HRA component escapes tax. Paying higher rent will not increase the exemption unless your HRA also rises.
Your annual rent of ₹3,00,000 crosses ₹1,00,000, so your employer will ask for your landlord's PAN (or a signed no-PAN declaration) before allowing the exemption in payroll.
Keep proof ready before you claim.Rent receipts, rent agreement, and landlord PAN (when annual rent exceeds ₹1,00,000) are commonly required by employers and during scrutiny.
How this HRA calculator works
House Rent Allowance (HRA) exemption under Section 10(13A) of the Income Tax Act is the lowest of three amounts:
- Actual HRA received from your employer during the year.
- Rent paid minus 10% of basic salary (plus dearness allowance, where applicable).
- 50% of basic salary if you live in Delhi, Mumbai, Kolkata, or Chennai, or 40% of basic salary in any other city.
Enter your salary details monthly or annually — the calculator converts them automatically, applies all three rules, and shows which rule limits your exemption along with the estimated tax saving at your slab rate.
HRA exemption calculation example
Suppose you work in Mumbai (metro) with an annual basic salary of ₹6,00,000, HRA of ₹2,40,000, and annual rent of ₹3,00,000:
| Rule | Calculation | Amount |
|---|---|---|
| Actual HRA received | As per salary structure | ₹2,40,000 |
| Rent minus 10% of basic | ₹3,00,000 − ₹60,000 | ₹2,40,000 |
| 50% of basic (metro) | 50% × ₹6,00,000 | ₹3,00,000 |
| HRA exemption (lowest) | Minimum of the three | ₹2,40,000 |
Here the full HRA of ₹2,40,000 is exempt and taxable HRA is zero. At a 30% slab, that is a tax saving of roughly ₹74,880 including cess.
Documents needed to claim HRA
- Rent receipts (with revenue stamp where rent is paid in cash above the prescribed limit).
- Rent agreement in your name.
- Landlord's PAN if annual rent exceeds ₹1,00,000.
- Bank statements showing rent payments, especially when paying rent to family members.
HRA calculator disclaimer
Estimate only. Actual HRA exemption can vary based on salary structure, dearness allowance treatment, tax regime, rent proof, employer declaration rules, and current income tax rules. This is educational content, not tax advice.
HRA calculator FAQs
How is HRA exemption calculated?
HRA exemption is the lowest of three amounts: actual HRA received, rent paid minus 10% of basic salary, and 50% of basic salary in a metro city or 40% in a non-metro city.
Which cities count as metro for HRA?
Only Delhi, Mumbai, Kolkata, and Chennai are treated as metro cities for the 50% limit. All other cities, including Bengaluru, Hyderabad, Pune, and Gurgaon, use the 40% non-metro limit.
Can I claim HRA in the new tax regime?
No. HRA exemption is available only under the old tax regime. If you pay high rent, compare both regimes before choosing, because the HRA exemption can make the old regime cheaper.
Can I claim HRA while living with my parents?
Yes, if you genuinely pay rent to a parent who owns the house. Pay by bank transfer, keep rent receipts, and note that the parent must report the rent as income in their tax return.
Do I need my landlord's PAN to claim HRA?
Yes, if annual rent exceeds ₹1,00,000 you must give your landlord's PAN to your employer. If the landlord has no PAN, a signed declaration is generally required.
Can I claim both HRA and home loan tax benefits?
Yes, in genuine cases — for example when you own a house in one city but live on rent in another city for work. Both claims must reflect your real situation.
What if my salary has no HRA component?
You cannot use the HRA exemption, but you may claim rent paid under Section 80GG, subject to its own limits, if you or your family do not own a house where you live.