Housing loan
This query is : Open
01 April 2011
If a salaried employee has taken housing loan but he could not get the possession of the property in the first year while he paid the first installment of principal & Interest.
Then he can take the tax benefit on that amount in the following 5 years as 1/5 each year.But please tell me if that person pays off the loan just in 3 years then what will be the treatment of the left 2/5 portion of housing loan int+ principal.Can he claim it in the third year only.
Then he can take the tax benefit on that amount in the following 5 years as 1/5 each year.But please tell me if that person pays off the loan just in 3 years then what will be the treatment of the left 2/5 portion of housing loan int+ principal.Can he claim it in the third year only.
01 April 2011
1st of all Only interest can be claimed for Pre-possession period. Principal repayment in this period can not be claimed.
Now... the total interest paid during pre-possession period (known as pre-EMI interest) can be claimed 1/5 in 5 consecutive FY starting from the FY in which the possession has been taken.
Even if the total loan has been repaid in 3 years, he can continue to claim the 1/5 of the pre-EMI interest for next two years.
Now... the total interest paid during pre-possession period (known as pre-EMI interest) can be claimed 1/5 in 5 consecutive FY starting from the FY in which the possession has been taken.
Even if the total loan has been repaid in 3 years, he can continue to claim the 1/5 of the pre-EMI interest for next two years.
01 April 2011
ok,Thanx Subhash
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- Capital gain from sale of house property
- Stamp Paper for partnership firm change new income tax 2025
- TDS on Purchase of Immovable Property by NRI from NRI
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Value of property in capital gain
- Annual return in Gst
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- TDS APPLICABILITY......
- Copyright software
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
