Calculate your House Rent Allowance (HRA) tax exemption for FY 2025-26 with our free HRA Exemption Calculator designed for salaried individuals in India. Enter your basic salary, HRA received, rent paid, and city type (metro or non-metro) to estimate your tax savings under the old tax regime.
HRA is a key component of salary that helps reduce taxable income for those paying rent. Our tool simplifies the calculation by applying Income Tax rules, ensuring accurate estimates for FY 2025-26. Plan your taxes efficiently and maximize your HRA benefits with ease.
An HRA Exemption Calculator is an online tool that estimates the tax-exempt portion of House Rent Allowance (HRA) in India based on basic salary, HRA received, rent paid, and whether you live in a metro or non-metro city.
HRA exemption is the minimum of: 1) HRA received, 2) Rent paid minus 10% of basic salary, 3) 50% of basic salary (metro cities) or 40% (non-metro cities). Our calculator uses these rules for FY 2025-26.
For HRA exemption, metro cities in India are Delhi, Mumbai, Kolkata, and Chennai. Other cities are classified as non-metro, qualifying for a 40% basic salary exemption.
Yes, HRA exemption is applicable for FY 2025-26 under the old tax regime in India. The calculator provides estimates based on current rules, but consult a tax professional for exact applicability.