income tax rebate on personal loan for house purchasing

This query is : Resolved

C.S.Suman

C.S.Suman (Querist)
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18 February 2011 As there is tax rebate for home loan under sec 80C and 24 for interest, if any body wants to purchase some house on which banks are not giving home loan then can he get the tax benefit on principal & interest on personal loan if bank certify in the certificate that the loan is for house purchasing

CMA. Dinesh S Adhikari, ACMA

CMA. Dinesh S Adhikari, ACMA (Expert)
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18 February 2011 Good Question...

Under 24 it has been given that amount should be used for construction/repair/purchase of house property and it does not stated about source of loan, therefore here you can claim interest as deduction if certificate received from Banker.

However, u/s 80C Homeloan clearly mentioned there, so you cannot claim Principal amount here.

Let the others also show their opinion on this.

Regards!!!

Sunil Kr. Sanganeria

Sunil Kr. Sanganeria (Expert)
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18 February 2011 I totally agree with Dineshji

Interst paid may be claimed as deduction u/s 24(b) but payment of principal can not be claimed u/s 80C

Guest

Guest (Expert)

18 February 2011 Agree with both experts.