HRA Calculator
How much of your house rent allowance is tax-free, which rule limits it, and how much tax it saves.
At a glance
- Applies the rule for section 10(13A): tax-free HRA is the least of the HRA received, rent minus 10% of salary, and 50% of salary in the big cities (40% elsewhere).
- From FY 2026-27, Bengaluru, Hyderabad, Pune and Ahmedabad are at 50% along with Delhi, Mumbai, Kolkata and Chennai. FY 2025-26 keeps the old list.
- Shows all three amounts and which one limits you, the taxable HRA and the tax saved at your slab.
- Handles a raise, a move or a change of rent mid-year: enter each month and the exemption is worked out month by month.
- Tells you the rent above which the exemption stops rising, and when your landlord’s PAN is needed (rent over ₹1 lakh a year).
- No HRA? Calculates the section 80GG deduction: the least of ₹5,000 a month, 25% of income, and rent minus 10% of income.
Step by step
How to calculate HRA exemption
- 1
Enter your salary
Your monthly basic pay plus dearness allowance, from your payslip.
- 2
Enter HRA and rent
The HRA you receive and the rent you pay each month.
- 3
Choose the city
Where you rent: it decides whether 50% or 40% of salary is the limit.
- 4
Read the result
Tax-free HRA for the year, the taxable part, and the tax it saves in the old regime.
Features
Everything you need, nothing you don’t
Three-rule check
See which amount sets your exemption.
8 cities at 50%
Rules for FY 2026-27 and 2025-26.
Month by month
Raises, moves and rent changes.
Tax saved
At 5%, 20% or 30% plus cess.
Section 80GG
Rent deduction without HRA.
Rent receipts
Make them with our receipt generator.
The HRA exemption formula
Tax-free HRA is the lowest of: (1) the HRA you actually receive, (2) rent paid minus 10% of salary, and (3) 50% of salary if you live in one of the eight big cities, or 40% anywhere else. “Salary” means basic pay plus dearness allowance (and commission fixed as a share of sales). With basic of ₹50,000 a month, HRA of ₹20,000 and rent of ₹25,000 in Mumbai: the amounts are ₹20,000, ₹20,000 and ₹25,000, so ₹20,000 a month — ₹2,40,000 a year — is tax-free.
Which cities get 50%
The Income-tax Act, 2025 replaced the 1961 Act from tax year 2026-27 and the Income-tax Rules, 2026 added the four cities. Section numbers on this page are the familiar ones from the 1961 Act.
| City | FY 2025-26 | FY 2026-27 onwards |
|---|---|---|
| Delhi, Mumbai, Kolkata, Chennai | 50% | 50% |
| Bengaluru, Hyderabad, Pune, Ahmedabad | 40% | 50% |
| Everywhere else | 40% | 40% |
FAQ
Frequently asked questions
Can I claim HRA in the new tax regime?
Can I pay rent to my parents and claim HRA?
When do I need my landlord’s PAN?
What if my salary changed during the year?
Can I claim both HRA and a home loan?
I don’t get HRA. Can I still save tax on rent?
Keep going
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