Free tool · AY 2026-27
HRA exemption calculator
How much of your house rent allowance is actually exempt under s.10(13A), and which of the three tests is the one limiting you.
An estimate, computed in your browser — nothing you type here is sent anywhere. It applies the ordinary rules and ignores surcharge relief, set-offs and anything specific to your documents. The return we build from your Form 16 does not.
Why the exemption is almost never the full HRA
Rule 2A gives three figures and you get the least of them: the HRA your employer actually paid; your rent for the year minus 10% of salary; and 50% of salary if you live in Delhi, Mumbai, Kolkata or Chennai, or 40% anywhere else.
“Salary” here means basic pay plus dearness allowance — not your gross package. That catches people out, because a large HRA on a small basic rarely survives the third test.
For most people it is the rent test that bites. If your rent is modest relative to salary, the 10% subtraction eats the exemption quickly, and paying rent to a relative without a real arrangement will not survive scrutiny.
None of this exists under the new regime. HRA exemption is one of the things you give up in exchange for the lower slabs, so it only matters if you are electing the old regime.
Common questions
Do I need my landlord's PAN?
If your rent exceeds ₹1,00,000 in the year, your employer must collect the landlord's PAN to allow the exemption in Form 16. Without it the exemption can still be claimed when you file, but expect it to be questioned.
Can I claim HRA and a home loan at the same time?
Yes, and it is more common than people think — you can rent in the city you work in while owning a property elsewhere that you let out or genuinely cannot occupy. Both are allowed when the facts support them.
Which cities count as metro?
Only Delhi, Mumbai, Kolkata and Chennai, for this specific purpose. Bengaluru, Hyderabad and Pune are not metros under Rule 2A, however large they have become.
Want the exact figure, not an estimate?
Attach your Form 16 and we compute the whole return from the real document — every exemption, every deduction, both regimes, and the right ITR form.
File your return free