Work out hra exemption instantly with clear inputs, formula shown and shareable results.
The house rent allowance exemption is the least of three amounts: HRA received, rent paid less 10% of basic salary, and 50% of basic in a metro or 40% elsewhere. Identifying the binding limit shows what would actually increase the exemption.
HRA exemption
Exempt = min(HRA received, rent - 10% of basic, 50%/40% of basic)
Tax figures are estimates based on the rates, caps and thresholds you enter. Real rules differ by jurisdiction and change every year, and personal circumstances alter the outcome. This is not tax or financial advice — confirm with a qualified adviser.
The exemption is nil, because the second limit becomes zero or negative.
Above a threshold rent, most tax authorities require the landlord's tax identification number in the claim.