Calculate your House Rent Allowance (HRA) exemption under Section 10(13A) and Rule 2A. Enter your salary, basic, HRA received and rent paid to see your exempt HRA, taxable HRA, and a step-by-step of all three exemption rules.
Last updated
Jul 2026
Reviewed by
EasyTechLabs Finance Team
Calculation method
Documented in “How this is calculated” below
Official sources
Income Tax Department, Income-tax Act, 1961 — Section 10(13A), Income-tax Rules, 1962 — Rule 2A, CBDT
Formula
HRA Exemption = least of { Actual HRA · Rent − 10% × Basic · 50%/40% × Basic } · Taxable HRA = HRA received − Exemption
Calculation method
Applies Rule 2A of the Income-tax Rules, 1962 (read with Section 10(13A)). The exemption is the least of three amounts: the actual HRA received, rent paid in excess of 10% of salary, and 50% of salary for metro cities (Delhi, Mumbai, Kolkata, Chennai) or 40% for non-metro. The balance of the HRA is taxable. 'Salary' means Basic + DA (forming part of retirement benefits) + fixed-percentage commission.
Assumptions
Limitations
Official sources & references