Finance calculator
India - FY 2025-26 / AY 2026-27HRA Exemption Calculator
Estimate India House Rent Allowance exemption from salary, HRA received, rent paid, city type, and tax regime.
Formula
HRA exemption formula
HRA exemption depends on tax regime, rent proof, salary structure, and employer or filing validation. This calculator is only a planning estimate.
HRA exemption = least of actual HRA received, rent paid - 10% of salary, and 40% or 50% of salary
If salary is 600,000, HRA is 240,000, rent is 300,000, and city type is metro, exemption is min(240,000, 240,000, 300,000) = 240,000.
Sources and assumptions
India HRA exemption source notes
This profile covers the common India HRA exemption formula for salary income under the old tax regime. The exemption is the least of actual HRA received, rent paid minus 10% of salary, and 40% or 50% of salary depending on city type.
- Effective year
- FY 2025-26 / AY 2026-27
- Last verified
- 2026-05-28
HRA exemption depends on tax regime, rent proof, salary structure, and employer or filing validation. This calculator is only a planning estimate.
Official and reference sources
Assumptions
- Salary means basic salary plus dearness allowance entered by the user.
- Metro city mode applies the 50% salary limit; non-metro mode applies the 40% salary limit.
- The calculator treats values as annual amounts.
- HRA exemption is shown as zero in new-regime mode.
Not included
- Rent receipt, PAN, employer documentation, and actual proof validation.
- Complex salary definitions, commission as a percentage of turnover, partial-year tenancy, and multiple cities.
- Tax payable impact, surcharge, cess, and return-filing treatment.
FAQs
Can I claim HRA in the new tax regime?+
This calculator shows HRA exemption as zero in new-regime mode because HRA exemption is generally part of the old-regime calculation.
What salary is used for HRA exemption?+
The simplified estimate uses annual basic salary plus dearness allowance entered by the user.
How does the HRA Exemption Calculator calculate the result?+
It uses the HRA exemption formula: HRA exemption = least of actual HRA received, rent paid - 10% of salary, and 40% or 50% of salary. If salary is 600,000, HRA is 240,000, rent is 300,000, and city type is metro, exemption is min(240,000, 240,000, 300,000) = 240,000.
What information do I need to use the HRA Exemption Calculator?+
Estimate India House Rent Allowance exemption from salary, HRA received, rent paid, city type, and tax regime.
How accurate is the HRA Exemption Calculator?+
HRA Exemption Calculator applies the formula and assumptions shown on this page. Results may be rounded for readability, so verify changing rates, thresholds, medical guidance, or legal rules with the cited source or a qualified professional.
What should I check before using the HRA Exemption Calculator result?+
Check that the units, dates, rates, and assumptions match your situation. Change one input at a time to understand which values have the largest effect on the result.
Finance guide
How to use the HRA Exemption Calculator
Estimate India House Rent Allowance exemption from salary, HRA received, rent paid, city type, and tax regime. The page also explains the HRA exemption formula and shows a practical example: If salary is 600,000, HRA is 240,000, rent is 300,000, and city type is metro, exemption is min(240,000, 240,000, 300,000) = 240,000.
- 1
Enter your details
Enter salary, HRA received, rent paid, city type, and tax regime, then complete any other fields shown in the calculator.
- 2
Check the calculation
Review the result alongside the HRA exemption formula: HRA exemption = least of actual HRA received, rent paid - 10% of salary, and 40% or 50% of salary.
- 3
Compare scenarios
Change one or more inputs to see how they affect the HRA Exemption Calculator result before you use the estimate.
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