Mortgage loan agst assets purchased to satisfy section 54
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
01 August 2013
Dear Sir,
I have purchased a house from capital gain u/s 54 from the old house sold. Now bank is ready to provide me home loan refinance agst the same.
1.Whether I can take the loan.If yes is it violates the conditions of Section 54
2.Whether I can take principle and interest payment exemption u/s 24 and 80C.
Please clarify.
Thanks & Regards,
Murli
Dear Sir,
I have purchased a house from capital gain u/s 54 from the old house sold. Now bank is ready to provide me home loan refinance agst the same.
1.Whether I can take the loan.If yes is it violates the conditions of Section 54
2.Whether I can take principle and interest payment exemption u/s 24 and 80C.
Please clarify.
Thanks & Regards,
Murli
01 August 2013
"Now bank is ready to provide me home loan refinance agst the same."
.
Please replace the word "Refinance" with "Finance" and then "Finance" with "Mortgage Loan" . This is because, you are availing loan for the first time and that too for not financing the house. It may be for other purpose.
.
Q 1.
Whether I can take the loan.If yes is it violates the conditions of Section 54
.
" Mortgage" is not treated as "Transfer".
In my view, no breach of condition of Section 54 takes place. You may avail loan.
.
Q 2.
Principle and Interest payment exemption u/s 24 and 80C.
.
In respect of mortgage loan deduction U/s 24 as well as U/s 80C is not available.
.
Please replace the word "Refinance" with "Finance" and then "Finance" with "Mortgage Loan" . This is because, you are availing loan for the first time and that too for not financing the house. It may be for other purpose.
.
Q 1.
Whether I can take the loan.If yes is it violates the conditions of Section 54
.
" Mortgage" is not treated as "Transfer".
In my view, no breach of condition of Section 54 takes place. You may avail loan.
.
Q 2.
Principle and Interest payment exemption u/s 24 and 80C.
.
In respect of mortgage loan deduction U/s 24 as well as U/s 80C is not available.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation of fixed assets- coop housing society in mumbai
- TDS on Consultancy- Non DTAA
- Reopen of assessment proceeding
- EPF FULL & FINAL RULES IN 2026
- Rental income gst and it purpose
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- COMMERCIAL INVOICE FOR MATERIAL AND FREIGHT
- Reprocessing of rectification order AY 2025-26
- FTS Taxable under 115A
- EXPORT BILL UNDER LUT FREIGHT CHARGE INCLUED IN INVOICE IT LIABLE TO TAX
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
