13 August 2016
IF HOUSING LOAN IS BORROWED BY A PERSON. LOAN STATEMENTSHOWING THE NAME OF BORROWER AS HIS SON, AND PERSON'S NAME IS SHOWN AS CO-BORROWER. AND ALL THE REPAYMENT IS DONE BY HIS SON. HIS SON IS SALARIED PERSON. CAN WE CLAIM HOUSING INTEREST + PRINCIPAL REPAYMENT IN INCOME TAX DEDUCTION IN PERSON A/C.
13 August 2016
Owner (s) of the property can take benefit of Interest on Housing Loan and Repayment of Principal amount.of Housing Loan. Bank may write Borrower and co borrower name as they suit
15 August 2016
Mr. Momin Income tax deduction is available only to the person who is owner of the property as well as borrower of the loan. The son cannot claim deduction as he is not the owner. As far as father is concerned, he is owner as well as borrower( or co borrower). But he has not paid the instalments. All the paymemts are made by the son. Because of that he may not be able to claim the benefit. What can be done here is that the father can show the amount paid by the son towards EMIs as loan taken from him. That way the father can claim the deduction rightfully.
CAclubindia
