Repayment of housing loan under section 80c

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

12 January 2017 Dear Sir,

Please clarify me whether assessee can claim deduction of housing loan during under construction period.

And what if, if assessee has bought a plot of land for construction of building.
Whether cost of stamp duty, registeration exp. for transfer of land to aseesee be available for deduction in the year of purchase.

According to my opinion, yes we can claim in both the instances deduction under section 80C, since nothing as such mentioned in this section which prevent us from availing deduction.

Please let me know what u thought about my query?

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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13 January 2017 Assasee as to claim Pre construction interest 5 years from the year of completion of the house. If principal and interest both are assassee started paying principal payment can be claimed under 80C along with cost of registration exps maximum Rs.150000/-. Interest to be claimed under house property income.

Expert : Anonymous

Expert : Anonymous (Expert)

13 January 2017 Dear Anonymous, deduction of principal amount of hsg loan u/s 80C is available from year of completion as is clearly mentioned in the section. regarding the 2nd query relating to deduction of stamp duty, yes it is available in the year of purchase u/s 80C.

Querist : Anonymous

Querist : Anonymous (Querist)

13 January 2017 Dear Sir,

Thanks for sharing this.
Can u provide us under what clause of section, restriction on deduction of principle component has.

Expert : Anonymous

Expert : Anonymous (Expert)

13 January 2017 Dear Anonymous, I stand corrected. The restriction is on claiming deduction of interest on borrowed funds u/s 24(B). No such restriction is seen on claiming deduction of hsg loan principal repayment. hence we can assume that the claim is allowable.

Querist : Anonymous

Querist : Anonymous (Querist)

13 January 2017 Thanks sir, this info will help me lot

Expert : Anonymous

Expert : Anonymous (Expert)

15 January 2017 give a thumbs up if you like the response.