04 January 2019
Respected experts during my training I have come across a situation which is related to section 24 and 27. Suppose a person, say Mr.A, from his own income, has bought a house in name of him and his spouse. For buying the house Mr.A taken a loan in his own name. 'Section 27 of the Income Tax Act,1961 states that an individual who transfers otherwise than' for adequate consideration any house property to his or her spouse, not being a transfer in connection with an agreement to live apart, or to a minor child not being a married daughter, shall be deemed to be the owner of the house property so transferred' Now my question is 1) whether the above case comes under the definition of transfer? 2) since the loan obtained by Mr.A, whether the benefit of deduction of interest on the loan taken above can be availed my Mr.A only?
CAclubindia
