Calculator
HRA exemptioncalculator
HRA exemptioncalculator
Enter basic, the HRA on your payslip and the rent you pay to see how much of the allowance is tax-free, and which of the three limbs of the rule is holding it down.
Figures reviewed September 2026. Statutory rates change; confirm with the notification before filing.
For 12 months
Actual HRA received
₹1,80,000
Rent paid less 10% of basic
₹1,80,000
40% of basic
Smallest limb
₹1,44,000
HRA exemption
₹1,44,000
Taxable HRA
₹36,000
Rent of ₹2,16,000 is above ₹1,00,000 a year, so your employer will ask for the landlord’s PAN before allowing the exemption.
The exemption applies only under the old tax regime. See what it is worth against the new regime in the income tax calculator.
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<p style="font-size:12px"><a href="https://kuzhu.in/resources/hra-calculator?utm_source=embed">Free hra calculator by Kuzhu HRMS</a></p>How the HRA rule works
The least of three
The exemption is the smallest of: the HRA actually received, rent paid minus 10% of basic and DA, and 50% of basic and DA in a metro or 40% elsewhere. The rest of the HRA is taxed as salary.
Four metros
The 50% rate applies to Delhi, Mumbai, Kolkata and Chennai under the rules for FY 2025-26. Bengaluru, Hyderabad, Pune and every other city take 40%, however expensive the rent.
Old regime only
Under the new tax regime, HRA is fully taxable. Whether claiming it is worth giving up the new regime's lower slabs is exactly what the income tax calculator answers.
Month by month
The rule applies to each period at its own rent and salary. If rent or basic changed during the year, work out each stretch separately and add them.
Landlord's PAN
If rent is more than ₹1 lakh a year, the employer needs the landlord's PAN to allow the exemption in TDS. Keep rent receipts or the agreement either way.
No HRA on the payslip
Employees who receive no HRA, and the self-employed, can claim a smaller deduction for rent under section 80GG instead, within its own limits.
Questions people ask
How is HRA exemption calculated?
Take the smallest of three amounts for the period: HRA received, rent paid less 10% of basic and DA, and 50% of basic and DA in Delhi, Mumbai, Kolkata or Chennai or 40% in any other city. That smallest amount is exempt and the rest of the HRA is taxable.
Can I claim HRA under the new tax regime?
No. The new regime does not allow the HRA exemption, 80C or most other deductions. Compare the two regimes with your actual HRA exemption before deciding which to declare to your employer.
Can I claim HRA for rent paid to my parents?
Yes, if they own the house, you actually pay the rent, and they show it as income in their own return. Rent paid to a spouse is generally not accepted by the tax department.
Is Bengaluru a metro for HRA?
Not for this rule, under the rules for FY 2025-26. Only Delhi, Mumbai, Kolkata and Chennai get the 50% limb; Bengaluru, Hyderabad and Pune are at 40%. Check the current rules for the year you are filing.
More free tools
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In Kuzhu
Kuzhu collects rent declarations and receipts from employees on the app, applies the HRA rule month by month in TDS for anyone on the old regime, and asks for the landlord's PAN when the rent crosses the limit.
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