Interest on od

Save Share

This query is : Resolved

SREEJITH PONNETH (Querist)
Follow

15 June 2014 can we claim in interest on over draft frm incme frm house property. ? That o.d was taken for the purpose of construct a building...The same building is let out. ..

Nikhil Kaushik

Nikhil Kaushik (Expert)
Follow

15 June 2014 generally OD is a general purpose working capital loan.

therefore, though you might be able to claim interest deduction, you might well have to prove that the loan was used for construction of the building. This would further require that the loan documentation doesn't contradict your claim

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now