Income from house property

This query is : Resolved

MURUGAN.G (Querist)
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08 November 2011 Mr. A is a Govt. Employee. He owns two houses, both purchased out of housing Loan from Bank. In one property he himself is residing and another one rented out.

My question is,

(1) Whether Mr. A can claim interest on housing loans in respect of both the properties "under loss on house property".

(2)Whether the limit of Rs.1.50 lac for interest is available separately for the both the housing loans.

(3)Whether the employer can allow the same, provided he declares the income on the house property rented out.

Please clarify.

U S Sharma

U S Sharma (Expert)
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08 November 2011 1. yes
2. No, consolidated 1.5 Lacs
3. based on declaration by employee, employer may consider

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its beter to claim house 2 full interst claim and forget the house 1 claim, as in case of rented property, there is no celiing of interest claim.

CA MANOJ GUPTA

CA MANOJ GUPTA (Expert)
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08 November 2011 1. IN CASE OF RENTED PROP NO LOSS CAN BE COMPUTED LOSS CAN BE COMPUTED ONLY IN CASE OF PROP USED FOR SELF RESIDENCE
2. LIMIT OF 1.5 L APPLIES TO prop used for self residence only no limit in case of prop rented out however deduction cannot exceed annual value
3. yes

CA MANOJ GUPTA
JODHPUR
09828510543

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