INTEREST ON HOUSING LOAN REPAYMENT

This query is : Resolved

Jayant (Querist)
Follow

20 February 2008 I HAVE TAKEN HOUSING LOAN IN 2005 TO PURCHASE A NEW HOUSE AND CLAIMING DEDUCTION U/S 24B AS SELF OCCUPIED HOUSE PROPERTY LOSS FROM INCOMR FROM SALARY. NOW I HAVE TAKEN LOAN FOR HOUSE REPAIRING/RENOVATION. CAN I CLAIM DEDUCTIN FOR THE LOAN REPAYMENT FOR PURCHASEM OF HOUSE AND LOAN REPAYMENT OF HOUSE REPAIRING /RENOVATION. I AM PAYING INSTALLMENTS OF BOTH THE LOAN. SO CAN I CLAIM DEDUCTION U/S 24b for both the loan interest and principal.
please guide me.

jegannath G

jegannath G (Expert)
Follow

20 February 2008 Sorry you cannot claim the principal portion of the loan taken for repairing the house. Only the interest portion restricted a maximum of rs 30000 on the loan taken for repair works.

All above is apart from Loan taken for Purchase of house

CA Saurabh Maheshwari

CA Saurabh Maheshwari (Expert)
Follow

21 February 2008 FOR REPAIR AND RENOVATION MAXIMUM DEDUCTION IN RESPECT OF INTEREST IS 30000/- AND IF LOAN IS TAKEN FOR PURCHASE OR CONSTRUCTION OF HOUSE PROPERTY THAN MAXIMUM ALLOWABLE DEDUCTION IS 150000/- .IN RESPECT OF PRINCIPAL LOAN AMOUNT DEDUCTION UNDER SECTION 80C IS ALLOWABLE