U/S 24 (b) Intt on Borrowed Capital
This query is : Resolved
12 March 2009
My doubt in relation with Intt on borrowed capital for purchase of house (self occupied property).
Whether deduction will be allowed, if assessee pay the interest to the individual (being loan taken for purchase of self occupied property)?
please solve my query with reference to the provision of the section 24 (b) and section 80C.
Whether deduction will be allowed, if assessee pay the interest to the individual (being loan taken for purchase of self occupied property)?
please solve my query with reference to the provision of the section 24 (b) and section 80C.
CA Tirth Ajani
(Expert)
12 March 2009
amount paid towards interest will be allowed as deduction US 24(b) and amount paid towards principal will be deducted US 80C.
in this case interest will be allowed as deduction but repayment of loan will not be allowed US80C.
in this case interest will be allowed as deduction but repayment of loan will not be allowed US80C.
CA Tirth Ajani
(Expert)
12 March 2009
amount paid towards interest will be allowed as deduction US 24(b) and amount paid towards principal will be deducted US 80C.
in this case interest will be allowed as deduction but repayment of loan will not be allowed US80C
in this case interest will be allowed as deduction but repayment of loan will not be allowed US80C
12 March 2009
Hi Tirth,
Thanks for the reply. So in that case, assessee has an option of Tax Planning. He can take loan from the spouse, or from any other person (whoes income is under the limit) by cash/ by chaque, by whatever means and paid intt to her/him by prevelling market rate.
Wheather Asseesing Officer has power to disallowed this transaction (even if assessee furnish the Loan Certificate).
Please let me know any case law on this issue (if any).
Thanks & Regards,
CA Nitin
Thanks for the reply. So in that case, assessee has an option of Tax Planning. He can take loan from the spouse, or from any other person (whoes income is under the limit) by cash/ by chaque, by whatever means and paid intt to her/him by prevelling market rate.
Wheather Asseesing Officer has power to disallowed this transaction (even if assessee furnish the Loan Certificate).
Please let me know any case law on this issue (if any).
Thanks & Regards,
CA Nitin
30 June 2023
"Sorry, I am not a featured member."
For featured members contact....
https://www.caclubindia.com/catalogue/featured.asp
For featured members contact....
https://www.caclubindia.com/catalogue/featured.asp
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
- EPF ECR NEW FILE SEP 17TH 2026
- GST on Renting godown to KFCSC for Storage of Raagi
- TDS on Fixed Assets purchased
- Clarification Requested: Gift → NRO → NRE → Overseas Transfer - USA/CANDA (FEMA & Tax Compliance)
- Import of Software Service.
- Capitalgain tax purposes for valuation report compulsory
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- Oct 2025 Invoices
- Depreciation Chart Companies Act
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- 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
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- 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
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
