HOUSE LOAN REPAYMENT AND INTEREST

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This query is : Resolved

Rajesh Bajaj (Querist)

09 January 2008 Dear sir

In my case House loan taken by Wife and House in the name of Wife but repayment by husband as a guaranter
so please tell me repayment of loan allowable to husband OR NOt in section 80C

Rajesh

Peter,A.Matthai

Peter,A.Matthai (Expert)

09 January 2008 The Owner of the house and the borrower should be one and the same person. Both husband and wife can own the house and they can borrow money jointly - in which case both husband and wife can claim interest.

in the instant case husband cannot claim interest .

CA. Vineet Grover

CA. Vineet Grover (Expert)

09 January 2008 Hi Rajesh,

The basic issue on the accountability. There is an asset in the name of your wife and if the liability is shown in your books then there isnt any accountability. If you make an agreement with your wife sharing a part of the house equal to the amount of loan, you shall qualify to claim interest and principal payment on the home loan. Department shall not restrict you of any transation provided the accountability is justified.

Rgds/
Vineet

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