co - applicant to a loan

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vandana (Querist)
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30 May 2008 If the house property is in the name of A and the housing loan is applied for in the name of both A and B, whereas the payment is in actuality made by B only.
How will this be treated. Will A be able to claim a deduction u/s 24 if she makes the same payment to B in cash ?

Shekar

Shekar (Expert)
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30 May 2008 I think they can claim deduction u/s 24 proportionately....

CA. Yayati Tyagi

CA. Yayati Tyagi (Expert)
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30 May 2008 i found this query on net:

I recently purchased a house in my name. However, my wife and I have taken a joint loan for the house. In such a case, if she pays half the EMI, will she be eligible for the interest deduction as well as the principal deduction u/s 80C?

-Manjure

Both of you could have availed of the deduction individually had the house property been purchased in joint names. Now, the house belongs to you, so even though the loan is in both your names, your wife will not be eligible for the deductions.

-The authors may be contacted at wonderland consultants@yahoo.com

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