Calculate your House Rent Allowance exemption and optimize your tax savings. Understand metro vs non-metro rules and documentation requirements.
💡 Rent ≤ 10% of Basic ⇒ exemption shrinks. Living with parents? You can pay actual rent to them—need receipt + their PAN.
Metro cities (Mumbai, Delhi, Chennai, Kolkata) have higher HRA exemption limits (50% of basic salary) compared to non-metro cities (40% of basic salary).
You can claim HRA exemption even if living with parents, provided you pay rent to them and have proper documentation. The rent should be reasonable and not excessive.