house property

This query is : Resolved

janak (Querist)
Follow

14 September 2009 a employee took loan Rs.80,000 4 constrctn of house property @ 10%p.a.on 01/04/2006. completion of contruction of hose- 01/04/2007.he was getting deduction u/s 24(b) -for "pre-construction interest" he has claimed dedctn of some amt in a/y 2008-2009,2009-2010.& remaing amts of "pre contruction interest"in next 3 a/year.
suppose u sells it on 01/04/2010 ,then CAN he claim remaing amt for deductions of "pre-constrction interest" or not ?
plz tell me correct treatment

Ratan Sharma

Ratan Sharma (Expert)
Follow

15 September 2009 In my opinion if the house is sold then the deduction u/s. 24 is not allowable. Lets take an example if a person sold his house and still carrying his housing loan account whether the deduction is available ? perhaps not. Therefore if the house is sold then no deduction will be allowed u/s. 24.

janak

janak (Querist)
Follow

15 September 2009 i want from u correct answer , i m not satisfied .i request to "other experts" whether they agree or not with this answer which was given by Xpert"ratan sharma"?

CA.Tarun Maheshwari

CA.Tarun Maheshwari (Expert)
Follow

16 September 2009 Question is good, but I also support the views of Mr. Sharma.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
Follow

10 October 2021 First of all. house cannot be sold/transferred without closure of home loan, as title of the property has to be cleared from any encumbrance.
All the interest paid till the closure of loan + pre-construction interest amount for the year can be claimed in previous year. (subject to limit specified in the section).

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok