Income from Salary

Claim under 80GG

The three factors that are taken into consideration while computing HRA are:

1. The rent allowance provided by the employer
2. The actual rent that you pay minus 10% of your basic salary; and
3. 50% of your basic salary (if you are living in a metro city) 40% of your basic salary (if you reside in a non-metro city)

Out of these above three values, the least value will be allowed as tax exemption on your HRA.