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can dep & housing loan interest - both can be claimed ?

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satvik shah (Querist)
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16 August 2009 I have an assesse who is having builiding which is being used for home cum office purpose, who is an lic agent.
Can housing loan interest and depreciation on building both benefits can be claimed while computing his computation for the f.y. 2008-09 ?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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17 August 2009 Depreciation in respect to the residential portion can not be claimed. You have to show the portion separately of the house which is used for his business.
Interest in respect to the residential part can be claimed under the head Income From House Property. Whereas Interest for commercial portion can be claimed against his business income.
Particularly in this case of an LIC agent, it is further advised that do not charge depreciation on business portion also. Take the entire house for residential purpose. At the time of sale of the property in future you may save capital gains taxes.

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