Deduction on Huse Propoerty

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Sonal Kulshreshtha (Querist)
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07 January 2010 I own a house which is self occupied. I am paying monthly EMI of about Rs.14,000. Is it possible to take double deduction i.e. Rs.1,50,000 u/s 24 for interest and Rs.100000 u/s 80C?

CA Vanesh Nadar

CA Vanesh Nadar (Expert)
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07 January 2010 Yes.

It is
But, taking into consideration

1. The Interest part only be deductible u/s 24

2. The Principal could be deductible u/s80C of the Act.

With Warm Regards
M. Vanesh Kumar
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CA Students - Experts Association

Bimal Thacker

Bimal Thacker (Expert)
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07 January 2010 No, You can't claim double deduction. Only interest is allowable on accrual basis under section 24(b)and repayment of principal is allowable as deduction U/S80 C. In your case total 168000(12*14000) has been paid. the actual deduction in 24(b) will be as per bank certificate of interest accrued for the year and under 80 c deduction depends only the actual repayment of loan.

Sonal Kulshreshtha

Sonal Kulshreshtha (Querist)
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07 January 2010 It is the maximum upto Rs.150000 so if the interest actually paid is less than Rs.150000 then the actual amount to be taken. Is that so?

Bimal Thacker

Bimal Thacker (Expert)
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07 January 2010 Deduction U/S 24b is on accrual basis, and not on payment basis.The actual interest accrued will be allowable as deduction