Income/ loss from house property

This query is : Resolved

navdeep (Querist)
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12 January 2012 I have a flat at Ludhiana in punjab. In 2007 i moved to Noida and started staying on rent. Meanwhile my ludhiana flat was vacant. And in Noida I am staying on rent.
In July 2010, I had booked an underconstruction flat in Noida for which I will get the possession in 2014. While i continued to own a vacant flat in Ludhiana.
I have taken some loan for booking underconstruction flat. My query is that
1. can I avail deduction for the interest paid and prinincipal repayment for the underconstrcution flat while i own one vacant flat at Ludhiana.

regards
Navdeep

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Guest (Expert)

12 January 2012 Interest paid on underconstructed property is allowed after construction is complete in equal 5 installments.

You can claim deduction for principal amount u/s 80C for underconstructed house.

Thanks

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
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12 January 2012 Agree with expert

Sec 24B for Deduction of interest on loan taken for contruction,purchase/Repair of house property specify that deduction for pre completion interest will starts from the year property purchase or constructed in five equal installments...means deduction will start from the year in which return for property file by the assesse first time.

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