This calculator is designed for salaried individuals living in rented accommodation in India. It helps compute the House Rent Allowance (HRA) exemptions you can claim under the Income Tax Act.
Calculate Your HRA Exemption
Results
Data Source and Methodology
Tutti i calcoli si basano rigorosamente sulle formule e sui dati forniti dal ClearTax.
The Formula Explained
The HRA exemption is calculated using the following formula:
HRA Exemption = min(HRA Received, 50% (or 40% for non-metro) of Basic Salary, Rent Paid - 10% of Basic Salary)
Glossary of Terms
- Basic Salary: The fixed amount of salary excluding any allowances.
- HRA Received: The allowance you receive from your employer for house rent.
- Rent Paid: The actual rent paid for your accommodation.
- City Type: Classification of the city as Metro or Non-Metro.
How It Works: A Step-by-Step Example
Let's say your basic salary is ₹30,000, HRA received is ₹12,000, rent paid is ₹15,000, and you live in a metro city.
- Calculation 1: HRA Received = ₹12,000
- Calculation 2: 50% of Basic Salary = ₹15,000
- Calculation 3: Rent Paid - 10% of Basic Salary = ₹12,000
- HRA Exemption = min(₹12,000, ₹15,000, ₹12,000) = ₹12,000
Frequently Asked Questions (FAQ)
What is HRA?
HRA or House Rent Allowance is an allowance given by employers to employees to meet the cost of renting a home.
Can I claim HRA if I stay with my parents?
Yes, you can claim HRA by paying rent to your parents and having them acknowledge it through a receipt.
What documents are required to claim HRA?
You need rent receipts and lease agreements to claim HRA.
Is HRA applicable if I own a house?
No, HRA is not applicable if you live in your own house.
How is HRA calculated for non-metro cities?
For non-metro cities, the calculation uses 40% of the basic salary instead of 50%.