25 June 2008
if we take loan before 1 april 1999 and spent it to repair a existing house and on 4 th april 1999 i took a fresh loan for constructing upper floor of same house.
My question is this as considering to above said information of what amount of deductions should i claim and what the suitable reason for this?
25 June 2008
The deduction u/s 24(b) will be available upto Rs.30000 in the year in which loan for repairs of existing house is taken(prior ti 1st april 1999)
In the year in which new house bought or constructed deduction upto 150000 will be available.
but one cannot claim deduction higher than Rs.150,000 in any one year against one single house.
But if these are treated as seperate units than deduction can be claimed accordingly treating one unit as SOP and other as LO. ie for let out part- actual interest paid is the ded. u/s24(b) and for SOP max upto 150,000.
CAclubindia
