Calculate your House Rent Allowance tax exemption under Section 10(13A)
House Rent Allowance (HRA) is a component of salary provided by employers to employees to meet their rental expenses. It is exempt from tax under Section 10(13A) of the Income Tax Act.
The HRA exemption is the minimum of:
Delhi (NCR), Mumbai (MMR), Kolkata, Chennai are considered metro cities where the HRA exemption limit is 50% of basic salary. For all other cities, it is 40%.
HRA is a component of salary provided by employers to employees to meet their rental expenses. It is exempt from tax under Section 10(13A) of the Income Tax Act.
The HRA exemption is the minimum of:
The HRA exemption limit for Metro cities is 50% of basic salary.
The HRA exemption limit for Non-Metro cities is 40% of basic salary.