Minimum of the following three:

1. Actual HRA received for the period,
2. Rent paid minus 10% of salary (basic + eligible DA),
3. 50% of salary if in metro, else 40%.

Salary here means monthly basic + DA (forming part) multiplied by the number of eligible months.

New vs Old Regime

Under the new tax regime (115BAC), HRA exemption under Sec 10(13A) is not available. Switch to Old to compute eligibility.

Documentation tips

• If annual rent > ₹1,00,000, your landlord's PAN is typically required by employers.
• Rent paid to spouse is not accepted. To parents may be acceptable with proof & agreement.
• No exemption if you live in your own house without paying rent.