Calculate your House Rent Allowance tax exemption under Section 10(13A). Updated with 8 metro cities effective April 1, 2026 — now includes Bengaluru, Hyderabad, Pune, and Ahmedabad at 50%.
Not applicable under New Tax Regime. Educational estimate — verify with your tax advisor.
Min of actual, rent−10%, 50/40%
Updated April 2026 list
Old regime exemption
Monthly & annual breakdown
New from April 2026: 8 Metro Cities for 50% HRA
The government has expanded the list. Earlier only Delhi, Mumbai, Kolkata, and Chennai qualified for 50%. Now Bengaluru, Hyderabad, Pune, and Ahmedabad are also included.
Only if DA is part of retirement benefits
HRA component from your payslip
Metro: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad
For partial year calculation
The lowest of these three is your exempt amount
1. Actual HRA received
From your employer
₹20,000
2. Rent paid − 10% of salaryLimiting
₹15,000 − ₹5,000
₹10,000
3. 50% of salary
Metro city rate
₹25,000
Monthly Exempt
₹10,000
Annual Exempt
₹1,20,000
Monthly Taxable
₹10,000
Annual Taxable
₹1,20,000
Under Section 10(13A) of the Income Tax Act, the HRA exemption is the minimum of:
From April 2026: The government has added 4 new metro cities — Bengaluru, Hyderabad, Pune, and Ahmedabad — to the existing list of Delhi, Mumbai, Kolkata, and Chennai for the 50% HRA exemption.
Need rent receipts?
Use our free Rent Receipt Generator to create receipts for HRA exemption claims.
HRA exemption is a tax benefit for salaried employees who pay rent. Under Section 10(13A) of the Income Tax Act, a portion of the HRA received from your employer can be claimed as exempt from income tax. This is available only under the Old Tax Regime.
HRA exemption is the minimum of three amounts: (1) Actual HRA received from employer, (2) Rent paid minus 10% of salary (Basic + DA), and (3) 50% of salary for metro cities or 40% for non-metro cities.
From April 1, 2026, eight cities qualify for the 50% HRA exemption: Delhi, Mumbai, Kolkata, Chennai (the original 4 metros) plus Bengaluru, Hyderabad, Pune, and Ahmedabad (4 newly added cities). All other cities get 40%.
No. HRA exemption under Section 10(13A) is available only under the Old Tax Regime. If you opt for the New Tax Regime, your entire HRA is taxable and no exemption is allowed.
Yes, you can pay rent to your parents and claim HRA exemption, provided your parents own the house and declare the rental income in their tax return. You cannot claim HRA if you pay rent to your spouse.
If annual rent exceeds ₹1,00,000, you must submit rent receipts along with the landlord's PAN number. Below ₹1,00,000 annually, a self-declaration may suffice, but having rent receipts is always recommended.
Educational estimate; verify with your tax advisor. HRA exemption is available only under the Old Tax Regime. Not affiliated with the Income Tax Department or Government of India.
Educational tool only. Verify with your tax advisor.