Home loan exemption on letout houses (2nd & 3rd)

Yes, when you are owner or co-owner of the house property and single borrower of HBL, then you can take home loan tax benefits.

Sir, 

i am pretty much in the same confusion. If i read your reply correctly, one can deduct only 2 lacs across all the rented property(in case more than one) from the net loss and rest is carried forward. is this correct.

thx

Prem

Take an example: Say, you have 3 house property One self occupied A, and other two let out or deemed let out B & C.

For A: interest deduction limited to 2 lakhs (SOP)

For B: Out of total interest, reducing the amount of rent, say 3 lakhs (assumption)

For C: After adjusting rental income, net interest paid is say, 2.50 lakhs.

So, total income from the head HP is nett loss of (7.50 lakhs)

Till AY 2017-18: you were allowed to adjust total loss of 7.50 lakhs from other income heads, to bring down your taxable income by 7.50 lakhs!!

After amendment in Finance bill 2017, from AY 2018-19; you can adjust the loss from head HP upto 2.00 lakhs only, from other income heads and remaining 5.50 lakhs loss is to be carried forwarded upto next 8 years, for adjustment against income from HP, if available.

thank you for the clarification. appreciate it. that is really a whammy.. :(