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HRA exemption

Financial year*
₹

₹6 lakh

0 ₹Step: 500 ₹24,00,000 ₹
₹

₹2.4 lakh

0 ₹Step: 10,000 ₹9,60,000 ₹
₹

₹3 lakh

0 ₹Step: 500 ₹12,00,000 ₹
Rental city category*
Tax regime*
Assumptions

Rules for the selected financial year. Old-regime exemption is the least of actual HRA, rent minus 10% of eligible salary (floored at zero), and 50% of salary for the four named cities or 40% otherwise. Eligible salary includes basic, eligible DA and turnover-based commission. Inputs must cover the same rental period; run separately if circumstances change. HRA exemption is unavailable under the new regime.

Rules: 2025–26 (AY 2026–27), reviewed 2026-09-11. The 2025–26 (AY 2026–27) rule period ended on 2026-03-31. A newer period has started; its rules have not been reviewed here yet.

Income Tax Department · salary income

Estimates are not personalised financial advice. Review assumptions before use.

Estimated HRA exemption

₹2.4 lakh

Based on your inputs. Not guaranteed. Exact amount: ₹2,40,000.

HRA received₹2.4 lakh
Rent less 10% of salary₹2.4 lakh
City-based salary limit₹2.4 lakh

Which HRA limit is smallest?

Under the old regime, the smallest limit sets the exemption. An exemption is not the same as tax saved.
HRA received₹2.4 lakh
Rent less 10% of salary₹2.4 lakh
City-based salary limit₹2.4 lakh

Under the old regime, the smallest limit sets the exemption. An exemption is not the same as tax saved.

View detailed breakdown
Scenario comparison
HRA received₹2.4 lakh
Rent less 10% of salary₹2.4 lakh
City-based salary limit₹2.4 lakh

What is being compared?

The exemption calculation compares the applicable limits. Exemption is a reduction in taxable salary, not the same amount as tax saved.

Detailed results

ResultValue
Estimated HRA exemption₹2.4 lakh
HRA received₹2.4 lakh
Rent less 10% of salary₹2.4 lakh
City-based salary limit₹2.4 lakh
Taxable HRA₹0
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