Use eligible basic plus DA—not total CTC.
HRA Exemption Calculator
Calculate the least-of-three HRA exemption under the old tax regime. Adjust the assumptions, inspect the chart and read the complete guide below.
02 Your projection
Indicative HRA exemption₹2.28 LUpdates instantly as you edit
HRA received₹3.60 L
Potentially taxable HRA₹1.32 L
Tax saved at 30% slab₹68,400
Projection journeyHover to inspect a year
HRA exemption is generally available under the old regime and depends on actual salary, rent, residence and documentation.
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Five smart nudges
Use the result with context.
Split the year if rent, salary or city changed.
Keep genuine rent-payment and tenancy evidence.
HRA exemption is generally an old-regime benefit.
Compare total regime tax, not HRA in isolation.
Understanding HRA Exemption in India
Editorially reviewed 13 July 2026 · Rules and assumptions can change
The HRA least-of-three test
For a salaried tenant using the old regime, the exempt amount is generally the least of actual HRA received, rent paid above 10% of eligible salary, and 50% of salary for Delhi, Mumbai, Kolkata or Chennai or 40% elsewhere. Eligible salary normally means basic plus qualifying dearness allowance and turnover-based commission—not gross CTC.
If annual basic plus eligible DA is ₹7.2 lakh, HRA is ₹3.6 lakh and rent is ₹3 lakh in Mumbai, the three figures are ₹3.6 lakh, ₹2.28 lakh and ₹3.6 lakh. The indicative exemption is therefore ₹2.28 lakh.
Regime, rent and documentation
HRA exemption is generally unavailable under the default new regime. Paying rent to a parent can require genuine ownership, payment evidence and reporting by the recipient; fabricated receipts are not planning.
Match the exemption period to the months actually rented and recalculate when salary, city or rent changes. PAN and landlord disclosure requirements can apply above relevant rent thresholds.
What this calculator excludes
The tool does not decide whether DA qualifies, handle multiple employers automatically or validate rent agreements. Employer payroll exemption and final return treatment can differ if declarations were late.
Compare the result inside the old-vs-new regime calculator because a large HRA exemption alone does not prove the old regime has lower total tax.
Official sources used for this guide
- Income Tax Department — AY 2026–27 individual tax guidance ↗
- Income Tax Department — Income and Tax Estimator manual ↗
Rates, thresholds and rules can change after the review date. Check the linked authority and the provider’s current documents before acting.
HRA Exemption calculator FAQs
Can HRA be claimed in the new regime?
The normal section 10(13A) HRA exemption is generally associated with the old regime; verify the applicable year.
Which cities receive the 50% salary cap?
Delhi, Mumbai, Kolkata and Chennai under the standard HRA rule.
Is rent receipt enough?
No. Genuine tenancy, payment and required landlord information matter.
Can homeowners claim HRA?
Facts such as workplace and rented residence matter; ownership elsewhere does not automatically answer eligibility.