Tax Exemption on HRA
For salaried people this tool will be useful in caculating the tax deduction on
HRA.
The minimum of these three values will determine your HRA tax deduction
-- The House Rent Allowance you get
-- (Annual_Basic + Annual_DA) X City_factor (City_factor is 0.5 for Metros and 0.4
for Non-Metro cities)
-- Annual_Rent_Paid - 10% of (Annual_Basic + Annual_DA)