Kindly tell me whether stamp duty paid on purchase of residential house is exempt from tax if the acessee is having only income from salary
CA PuRvI M!$rA
(-)
(2260 Points)
Replied 06 March 2017
Deduction is allowed u/s 80C for Stamp duty and registration charges paid at the time of registry of House property.
Stamp Duty and Registration Charges are covered under Section 80C, thus falls in the threshold limit of Rs.1.5 lakhs. Any amount paid over and above the threshold limit is not eligible for deduction that means maximum amount of deduction of Stamp Duty and Registration Charges paid is restricted to Rs.1.5 lakhs.
These expenses can probably exhaust your full threshold limit but do remember that there are other significant avenues covered under the same section, such as LIC, PPF, 5 year tax savings fixed deposit etc.
Alakshendra Rai
(Service)
(40 Points)
Replied 06 March 2017
CAclubindia
