Basic, HRA and TAX calculation

Hi,

See here under HRA Calculation & Formula
Consider Least of Following:
1) HRA Received:
2) 40% of Basic + DA for Non Metro city
3) 50% of Basic for Metro City (Chennai, Delhi, Kolkata or Mumbai)
4) Rent paid-10% of Basic.

Visit https://www.payit.in to calculate your income tax.

Hi Arun,

In your case there is no HRA calculation.  HRA U/s 10(13A) is allowed as deduction only for Salaried employees, however you can claim the rent paid through 80GG.  The calculation for the same is as follows.

a. 2000 per month (24000 p.m.) or 25% of Gross total income

whichever is less..

As per the above information given by you.

Rs.102500 (25% of 410000) or Rs.24000 whichever is less.