HRA (House Rent Allowance)

Tax Glossary Definition

HRA (House Rent Allowance)

HRA (House Rent Allowance) – A salary component paid by employers to employees to help meet rental housing expenses, and eligible for partial tax exemption under Section 10(13A) based on rent paid, salary, and the city of residence.

Example: An employee receiving ₹12,000 per month as HRA can claim exemption depending on actual rent, salary, and whether they live in a metro or non-metro city

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