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Home loan rebate aganist 2nd house

Varma (Senior Process Executive) (305 Points)

05 June 2014

My Uncle want to buy a 2nd home by taking a housing loan(1st home loan amount is cleared). Will he get tax benefit? If yes, how much "notional rent" will he have to show for the present home which he is occupying, if any?

Thanks In Advance.

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Tribhuvan Aditya Singh (Student as well as Self-employed) (3710 Points)
Replied 05 June 2014

yes you can get tax benefits on your second home loan also. as far as notional rent is concerned any one of the house can be deemed to be let out, it is not necessary that it should be first house only. amount of notional rent shall be the amt. of rent that it will fetch if it was let out. you will also get std. deduction of 30% on such deemed let out property.