How much House Rent Allowance is exempt from taxes?

I receive HRA as part of my salary, how much of it is exempt from income income tax?

Hi,

The lowest of the following is exempt House Rent Allowance from Income Tax:

  • Actual HRA received from an employer
  • 50% (for Metro) or 40% (for Non-Metro) of Basic Salary
  • Annual Rent Paid – 10% of Basic Salary

You can use HRA Calculator to do the calculation for you :slight_smile: