HI all,
I have such a queries which related to housing loan exemptions, Please clarify below questions, it would help me to clear understanding of tax.
1.If the person got the housing loan as pre- occupied, means how we should taken his housing loan interest, it means how many of year can i consider his housing loan interest payment for tax exemptions, still he has not been occupied his own house due to construction.
2. And if the person occupied his own house menas how should i take n his housing loan interest and how many of years shall i consider his housing loan interest for exemption
With Regards
Vasanth
From India, Madras
I have such a queries which related to housing loan exemptions, Please clarify below questions, it would help me to clear understanding of tax.
1.If the person got the housing loan as pre- occupied, means how we should taken his housing loan interest, it means how many of year can i consider his housing loan interest payment for tax exemptions, still he has not been occupied his own house due to construction.
2. And if the person occupied his own house menas how should i take n his housing loan interest and how many of years shall i consider his housing loan interest for exemption
With Regards
Vasanth
From India, Madras
Dear Vasanth
Interest on Housing Loan paid/payable during the year is deductible u/s 24 from the income from House Property. Briefly your query can be solved as below:
If the house is not constructed fully, interest on loan up to year of construction (excl. the year of construction) cannot be deducted now. It will be deductible after completion of construction in five installments beginning from the year in which it got completed.
If the house is fully constructed, entire interest is deductible if it is let out and interest upto 1.5 lacs p.a. is deductible if it is self-occupied. Interest of pre-construction period is also deductible in 5 installments in the post construction period.
Rajiv
From India, Gurgaon
3Interest on Housing Loan paid/payable during the year is deductible u/s 24 from the income from House Property. Briefly your query can be solved as below:
If the house is not constructed fully, interest on loan up to year of construction (excl. the year of construction) cannot be deducted now. It will be deductible after completion of construction in five installments beginning from the year in which it got completed.
If the house is fully constructed, entire interest is deductible if it is let out and interest upto 1.5 lacs p.a. is deductible if it is self-occupied. Interest of pre-construction period is also deductible in 5 installments in the post construction period.
Rajiv
From India, Gurgaon
Vasant
Self-Occupied Property
The Assessee will get exemption towards interest paid on house property.
If the property purchased before 01/04/1999– Exemption will be given up to tune of Rs.30,000/- towards interest on House property.
If the property is purchased on or after 01/01/1999– Exemption will be given up to tune of Rs.1, 50,000/- towards interest on House property.
If the employee fulfilled the following conditions then he is eligible to claim house property as well as House rent exemption benefits.
Due to his profession if the employee is not in a position to occupy his self-occupied property.
Both House property as well as rented property situated in different places i.e different cities.
If the assessee hasn’t derived any rental income from the rental property
From India, Hyderabad
Self-Occupied Property
The Assessee will get exemption towards interest paid on house property.
If the property purchased before 01/04/1999– Exemption will be given up to tune of Rs.30,000/- towards interest on House property.
If the property is purchased on or after 01/01/1999– Exemption will be given up to tune of Rs.1, 50,000/- towards interest on House property.
If the employee fulfilled the following conditions then he is eligible to claim house property as well as House rent exemption benefits.
Due to his profession if the employee is not in a position to occupy his self-occupied property.
Both House property as well as rented property situated in different places i.e different cities.
If the assessee hasn’t derived any rental income from the rental property
From India, Hyderabad
Dear Pon Sorry to disagree, But I believe that the limit of 1.5 lacs is applicable only in case of Self occupied Property. Rajiv
From India, Gurgaon
From India, Gurgaon
Dear Mr.Vasanth, I hope the attached notes will be some help to U. Regards, kumar.s.
From India, Bangalore
From India, Bangalore
Hello Loginmiracle,
I just went through the attachment you have posted last year, where it is mentioned about taking joint loan by couple. for which the tax beneft is calculated with 70% paid by husband and 30% paid by wife. is there any rule for this percentage or this can be decided by the couple.
pl clarify
other seniors also can help me, I am about to take a joint loan..
From India, Madras
I just went through the attachment you have posted last year, where it is mentioned about taking joint loan by couple. for which the tax beneft is calculated with 70% paid by husband and 30% paid by wife. is there any rule for this percentage or this can be decided by the couple.
pl clarify
other seniors also can help me, I am about to take a joint loan..
From India, Madras
Sir,
I browsed through your notes and I have one doubt regarding the interest paid for pre-construction period ie, pre-emi. When the exemption is claimed after construction, the ceiling amount is 1.5 lakhs for interest part for self occupied house. Does this ceiling include the 20% share of pre-emi or the 20% share of pre-emi is exempted over and above the 1.5 lakhs, since that amount actually was paid during a different financial year.
Regards
SURY6695
From India, Bangalore
I browsed through your notes and I have one doubt regarding the interest paid for pre-construction period ie, pre-emi. When the exemption is claimed after construction, the ceiling amount is 1.5 lakhs for interest part for self occupied house. Does this ceiling include the 20% share of pre-emi or the 20% share of pre-emi is exempted over and above the 1.5 lakhs, since that amount actually was paid during a different financial year.
Regards
SURY6695
From India, Bangalore
Dear Mr Pon,
The subject provided an interesting reading. I agree with Mr. Rajiv Chawla regarding the 1.5 lakhs ceiling for self occupied houses. Home loan Interest for Houses rented out are eligible for exemption to the tune of sum paid towards interest part of loan repayment.
Regards
SURY6695
From India, Bangalore
The subject provided an interesting reading. I agree with Mr. Rajiv Chawla regarding the 1.5 lakhs ceiling for self occupied houses. Home loan Interest for Houses rented out are eligible for exemption to the tune of sum paid towards interest part of loan repayment.
Regards
SURY6695
From India, Bangalore
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Withdrawal of PF for housing loan 5.6.2012.pdf
Loan Form.doc