How much House Rent allowance is exempt?

HOUSE RENT ALLOWANCE – SEC 10 (13A) READ WITH RULE 2A :

When the employee is occupying a rented residential accommodation, the amount of house rent allowance received by him is exempt to the extent of least of the following amounts:

a) 50% of the salary where residential house is situated at Bombay, Calcutta, Madras or Delhi and 40% of the salary where residential house is situated at any other place.

b) House Rent Allowance actually received by the Employee in respect of the period during which the residential accommodation is occupied by him during the year.

c) Amount of rent paid in excess of 10% of the salary. Besides the above, there are certain other incomes also, which are totally exempt or exempt subject to fulfillment of certain conditions.

Source: Income Tax Department