House Property and Deduction U/s 80C

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Mandeep Modi (Querist)
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27 December 2008 I have a query on house property.

There are two assessee X and Y. Both own the property equally. But EMI on loan is paid by X and the benefit was claimed by Y on the Interest and Principal amount in his return of income. But Y haven’t claimed Stamp duty charges and registration fees U/s 80C. Now X who haven’t filed the return can claim such expenses u/s 80C.

CA Tilak Raj Sharma

CA Tilak Raj Sharma (Expert)
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27 December 2008 No, stamp duty fees and registration fees cannot be claimed u/s 80C.

U/s 80C, you can only claim the repayment of Housing Loan and i.e. principal amount of loan (not interest).

K V Subba Rao

K V Subba Rao (Expert)
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27 December 2008 Pl refer Note (9)(d) to Para 107.1 of 31st edition of Singhania's Direct Taxes Ready Reckoner which reads as follows:

"The following payment made towards the cost of purchase/construction of a new resdential house property is qualified for the purpose of section 80C....stamp duty, registration fee and other expenses for the purpose of transfer of such property to the assessee"