Hra calculations

This discussion clarifies how to calculate the House Rent Allowance (HRA) you can claim for tax exemption. The deductible amount is the lowest of three figures: the actual HRA received, a percentage of your salary (50% for metro cities, 40% for others), or the rent you've paid annually exceeding 10% of your salary. To determine the exact claim, you'll need to know your basic salary, the HRA provided by your employer, the city you live in, and the rent you actually pay.