HRA Exemption Calculator
Work out how much of your house rent allowance is tax-free under the old regime, with the 50% rate for Delhi, Mumbai, Bengaluru, Pune and 4 more cities.
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About the HRA Exemption Calculator
House rent allowance (HRA) is part of many salaries, and under the old tax regime part of it is tax-free if you pay rent. From 1 April 2026, the higher 50% limit applies in eight cities: Delhi, Mumbai, Kolkata and Chennai, plus Bengaluru, Hyderabad, Pune and Ahmedabad, which were added by the new income tax rules. Everywhere else the limit is 40%.
Enter your basic pay plus DA, the HRA you receive and the rent you pay, monthly or yearly. The tax-free part is the smallest of three amounts: the HRA received, rent minus 10% of salary, and 50% or 40% of salary. The calculator shows all three so you can see which one limits your exemption. HRA cannot be claimed under the new tax regime, which is now the default.
How to use the HRA Exemption Calculator
- 1
Choose whether you are entering monthly or yearly amounts.
- 2
Enter your basic pay plus DA, the HRA in your salary and the rent you pay.
- 3
Choose whether you live in one of the 8 cities with the 50% limit.
- 4
Read the tax-free and taxable HRA, and which of the three limits applies.
Examples
Basic + DA 6,00,000, HRA 2,40,000, rent 3,00,000 a year, big cityExempt HRA: ₹2,40,000 a year
Taxable HRA: ₹0 a yearBasic + DA 6,00,000, HRA 2,40,000, rent 1,80,000 a year, other cityExempt HRA: ₹1,20,000 a year
Taxable HRA: ₹1,20,000 a yearGood to know
- Applies to the old tax regime only.
- If you change cities or rent during the year, work out each part of the year separately.
- Rent receipts, and the landlord's PAN for rent over ₹1 lakh a year, are needed to claim it.
Frequently asked questions
Which cities get 50% HRA exemption?
From 1 April 2026: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad. All other places use 40% of salary.
Can I claim HRA in the new tax regime?
No. The HRA exemption is only available under the old regime. Compare both regimes before choosing.
What counts as salary for HRA?
Basic pay plus dearness allowance (if it counts for retirement benefits) plus any commission fixed as a percentage of turnover.
Is anything I enter saved?
No. The calculation runs on your device and nothing is stored or sent anywhere.
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