Income from hp and clubbing provisions
This query is : Resolved
23 June 2012
Hey!
I need to know what would be the solution for the following case as per provisions of Clubbing and also for House Property.
There is a House Property in Joint Name of a Husband and Wife and is currently let out.
The Income from the Property is received by the Wife (the registration of the letting is done in the name of the Wife)
The Husband, in the single name, has taken a loan for purchase of that property.
The Question lies that where can i take the deduction of the Interest on Loan that has been Paid (Section 24)
Also whether that income from rent would be clubbed with the income of Husband if the Income of Wife is less than that of the Husband (Section 64)
I need to know what would be the solution for the following case as per provisions of Clubbing and also for House Property.
There is a House Property in Joint Name of a Husband and Wife and is currently let out.
The Income from the Property is received by the Wife (the registration of the letting is done in the name of the Wife)
The Husband, in the single name, has taken a loan for purchase of that property.
The Question lies that where can i take the deduction of the Interest on Loan that has been Paid (Section 24)
Also whether that income from rent would be clubbed with the income of Husband if the Income of Wife is less than that of the Husband (Section 64)
23 June 2012
Husband and wife are the Co-owners.
.
The Property Income will be assessed in proportion to their share/ownership in the Property.
.
If there is no such specification-take 50-50%
.
Husband had borrowed funds by taking a loan. It seems that wife has made purchased
her share in the property out of her own funds and as such she was not required to borrow.
.
Husband only will claim Interest.
.
When wife had not contributed, and she is just for the namesake a co-owner, Income will be assessed in the hands of Deemed owner i.e. the Husband , only.
.
If the case is otherwise,share the income in proportion to Contribution made individually. Consider the loan amount as Husband's Contribution.
.
.
The Property Income will be assessed in proportion to their share/ownership in the Property.
.
If there is no such specification-take 50-50%
.
Husband had borrowed funds by taking a loan. It seems that wife has made purchased
her share in the property out of her own funds and as such she was not required to borrow.
.
Husband only will claim Interest.
.
When wife had not contributed, and she is just for the namesake a co-owner, Income will be assessed in the hands of Deemed owner i.e. the Husband , only.
.
If the case is otherwise,share the income in proportion to Contribution made individually. Consider the loan amount as Husband's Contribution.
.
26 June 2012
Thankyou Sir...
Also i wanted to clarify, what will be the case if the loan also is taken in the name of Husband and Wife (i.e that the loan too is in both names)
and yet the Interest and the Principle amount is paid by the Husband...
How will this change the Tax Assessment..
Also i wanted to clarify, what will be the case if the loan also is taken in the name of Husband and Wife (i.e that the loan too is in both names)
and yet the Interest and the Principle amount is paid by the Husband...
How will this change the Tax Assessment..
26 June 2012
The wife will pay the amount sooner or later. Show the amount as loan extended to wife for repayment of housing loan.
.
.
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