See how much of your House Rent Allowance is tax-exempt under Section 10(13A) — old regime only.
Metro (50% of Basic+DA): Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad. Other cities: 40%.
The exemption is the lowest of these three figures. The taxable portion of your HRA — ₹0.60 LPA — gets added to your salary income.
HRA exemption is available only under the old tax regime — if you've opted into the new regime, your entire HRA is taxable. Metro city list reflects CBDT's FY2026-27 rules.
It's the lowest of three figures: (1) the actual HRA you receive, (2) 50% of Basic+DA if you live in a metro city or 40% if not, and (3) the rent you pay minus 10% of your Basic+DA. Whichever of these three is smallest is what you can claim as exempt from tax.
As of FY2026-27, CBDT's updated rules recognize eight metro cities at the 50% rate: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, and Ahmedabad — expanded from the historical four (Delhi, Mumbai, Kolkata, Chennai). All other cities use the 40% rate.
No — HRA exemption under Section 10(13A) is available only if you've opted for the old tax regime. Under the new regime, your entire HRA is added to taxable salary with no exemption.
No — the exemption requires you to actually pay rent for accommodation you live in. If you pay rent to a family member (e.g., parents), it can qualify, but you'd need proper documentation (rent receipts, a rental agreement, and ideally the recipient declaring it as their income) to support the claim if questioned.
Yes — your employer will typically ask for rent receipts (and the landlord's PAN if annual rent exceeds ₹1 lakh) to allow the exemption in your monthly TDS. Keep these for your own records even if not asked, in case of an income tax query later.