HRA Exemption Calculator
HRA exemption is the smallest of three separate amounts, not just a percentage of your salary. Enter your basic, HRA, and rent to see exactly which of the three applies to you.
Your numbers (monthly)
₹/mo
₹/mo
₹/mo
Result — with the workings shown
HRA exempt (tax-free)
₹17,000
₹2,04,000/yr
HRA taxable
₹3,000
added to your taxable salary
How this is worked out
Only the smallest of three numbers is exempt: (a) HRA you actually receive: ₹20,000; (b) rent minus 10% of basic: ₹22,000 − 10% of ₹50,000 = ₹17,000; (c) 50% of basic (metro): ₹25,000. The smallest here is option b, so ₹17,000/mo is exempt and the remaining ₹3,000/mo of your HRA gets taxed like regular salary.
| Option | Amount |
|---|---|
| (a) Actual HRA received | ₹20,000 |
| (b) Rent − 10% of basic | ₹17,000 |
| (c) 50% of basic | ₹25,000 |
Only available under the old tax regime — the new regime doesn't allow an HRA exemption at all. This is one part of what the full Income Tax Calculator computes alongside 80C, 80D, and the regime comparison.
Terms used on this page
- HRA
- House Rent Allowance — the part of your salary specifically meant to cover rent. Only available as a tax break under the old regime, not the new one.
- Least-of-three rule
- Tax law doesn't let you exempt your whole HRA — only the smallest of three separately calculated amounts, explained below, is tax-free. The rest is taxed as normal salary.