INTEREST ON HOUSE BUILDING LOAN

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

03 December 2009 I have taken a home loan and have rented the house for 3 months during the current financial year. I need to pay interest of Rs. 1.8 Lacs.
Will i be able to get the deduction of full interest of 1.8 Lacs

CA Chandra Kishore Bajpai

CA Chandra Kishore Bajpai (Expert)
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03 December 2009 yes in case of let out property , actual Interest paid can be claimed

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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03 December 2009 As per IT Act Sec 24(b)

Querist : Anonymous

Querist : Anonymous (Querist)

03 December 2009 Is it mean, i will get full deduction and not the propotionate of 3 months

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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03 December 2009 I think Interest Deduction is Max. upto Rs.1,50,000/- in 2009-10
Pls rectify me if I am not correct.

Gayathri Devi

Gayathri Devi (Expert)
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03 December 2009 Dear Sir
In case of Letout Property there is no maximum limit for allowing deduction in case of Interest hence the the total interest spend by you is Allowable as deduction u/s 24.
In case of self Occupied Property the maximum limit is Rs.150000/- hence if you spend Rs.160000/- towards interst than Rs.150000/- is allowable as deduction.In case if you spend Rs.90000/- then Rs.90000/- is allowable as dedution.