Let-out property

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Jitendra (Querist)
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30 December 2013 Hi,

I have own house in pune and I lived there for 7 months and now rented out and I am living in rented accomodation now.

Can You please suggest how to claim HRA and home loan interest in this case.

Thanks,

Nikhil Kaushik

Nikhil Kaushik (Expert)
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30 December 2013 you claim HRA for the period you are living in the rented property.

With regards to interest claim, in my opinion, you can claim whole of interest deduction.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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30 December 2013 yes agreed with above ans.

Jitendra

Jitendra (Querist)
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30 December 2013 I think I have not made it clear, apologies for that.

The house I own is in Pune and I am living on rent in pune due to distance to my office. Please suggest the treatment of interest in this case.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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30 December 2013 Jitendra Bhai,

I believe the answer would remain same.

Jitendra

Jitendra (Querist)
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30 December 2013 Hi Nikhil,

Thanks for updates. But somebody told me that the house will need computation of income/loss as it is let out for part of year.

regards,

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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30 December 2013 Against the income of renting you can claim the interest on loan.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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30 December 2013 yes you need to compute. who is denying that part. what I am saying that you need to claim HRA for period actual rent was paid and against your own property, you need to claim income under house property subject to conditions provided in section 23, 24, 25.

Jitendra

Jitendra (Querist)
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30 December 2013 Please bear with me as I am new to income tax rules.

One more question - If I need to compute it for part of year basis or whole year basis as it is let out from Nov2013.

Thanks,

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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30 December 2013 If you are new then i suggest you to take help of a professional for correct cal of income from house property as there will be further series of question coming once we ans u.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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30 December 2013 with regards to HRA, only for the period you paid the rent, exemption shall be available

with regards to House property income, the interest should be allowed for the whole of year.

Jitendra

Jitendra (Querist)
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30 December 2013 For computation of GAV/NAV, will I need to take rent received for 5 months (actual) or expected value i.e. rent*12months

Thanks,

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