Housing loan

This query is : Resolved

Narendra Pai. M (Querist)
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26 June 2009 If I & my wife (both working) stand as co-applicants only (not owners of the house) to a housing loan to be taken by my Brother-in-law & my sister (again both working), then can me & my wife claim Tax benefits for Interest & Principal amounts paid by we two towards the above loan? if yes, then are there any criteria?

Ratan Sharma

Ratan Sharma (Expert)
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26 June 2009 Hi,
In my opinion you can not claim the tax benefit u/s. 24 or under sec. 80C. As you are only the co-applicant and the house property is neither purchased by you nor you can claim any rights in the aforesaid property , therefore in my view you can not claim the tax benefits.

Vipul J. Bhavsar

Vipul J. Bhavsar (Expert)
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26 June 2009 I agree with Mr.Sharma.
You and your wife can claim deduction only if you are co-owners of the property against which loan is taken.

Jitendra

Jitendra (Expert)
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26 June 2009 Not only the assessees should be co-owners, their respective shares in the property should also be definite and ascertainable to claim deduction u/s 24(b). This can generally be proved if the share is mentioned in the sale deed / agreement.