ToolPilot
HRA exemption calculator
Estimate exempt and taxable House Rent Allowance under Section 10(13A) using the three statutory conditions. Confirm with your employer or tax advisor for your exact pay structure.
Salary & rent (monthly)
Results (annual)
- HRA exemption
- ₹2,34,000
- Taxable HRA
- ₹6,000
The three conditions
Exempt HRA = minimum of the three. The binding condition(s) match the smallest value.
- Actual HRA received₹2,40,000
- 50% of (Basic + DA)₹3,30,000
- Rent paid − 10% of (Basic + DA)₹2,34,000
Applies (ties for minimum)
Exempt vs taxable share of HRA
How it works
For employees in rented accommodation receiving HRA, exemption is the least of: (1) actual HRA received; (2) 50% of salary (Basic + DA) for specified metro cities; (3) rent paid minus 10% of salary (Basic + DA). We annualise monthly inputs. If (3) is negative, it is treated as zero before taking the minimum—matching common calculator practice.
FAQ
Which cities count as metro for this HRA exemption calculator?
Typically Delhi, Mumbai, Chennai, and Kolkata use the 50% rule; others use 40%. Employer policies and notifications can vary—verify your city classification.
Do I need rent receipts for HRA exemption?
Employers usually ask for rent receipts and may require landlord PAN above threshold limits. This HRA exemption calculator does not check documentation.
What if I pay no rent—can any HRA be exempt?
Condition (3) becomes zero, so exemption is limited by the minimum of actual HRA, percentage of salary, and zero—often resulting in no exemption if you are not renting.
Is DA always included in salary for HRA?
For these rules, Dearness Allowance that forms part of retirement benefits is generally included. Enter zero if DA does not apply to you.