80C

Ya u can take deduction of repyament of House Loan nd also get deduction of House Loan Interest till 150000/- in House Property Head u/s 24(b).

As per Income Tax Provision there is no compelsion to take a loan from bank or other approved institution, u can take loan from anybody.

Originally posted by : SHRIPAL LUNIYA
	Ya u can take deduction of repyament of House Loan nd also get deduction of House Loan Interest till 150000/- in House Property Head u/s 24(b). As per Income Tax Provision there is no compelsion to take a loan from bank or other approved institution, u can take loan from anybody.

Agreed

Originally posted by : SHRIPAL LUNIYA
	Ya u can take deduction of repyament of House Loan nd also get deduction of House Loan Interest till 150000/- in House Property Head u/s 24(b). As per Income Tax Provision there is no compelsion to take a loan from bank or other approved institution, u can take loan from anybody.

AGREED

There are different sections of the “Income Tax Act” of India under which you can avail deductions on the taxes, confers you to save a signification amount on your total tax liability.

There are two sections of the “Income Tax Act” of India which will allow you to get a deduction if you have taken a home loan; this of course ignores home loans from “private sources” (Friend, Family, etc). The two sections are here under.

• Sec 24(b) of the Income Tax Act, 1961
• Sec 80(c) of the Income Tax Act, 1961

Section 24(b) is with respect to the “Interest Paid” on the Home Loan and Section 80(c) is with respect to the “Principal Repayment” of the Home Loan.

The Section 24(b) of the Income Tax Act, 1961 is applicable on Home loan for purchase of house or construction of the house property. You can avail a deduction of up to Rs. 1,50,000 of you total tax liability, Also reconstruction or renewal or repairs is eligible for deductions under the said section.

The Section 80(c) of the Income Tax Act, 1961 allows you a deduction of up to Rs. 1,00,000 on the principal repayment amount.

for taking deduction of 150000 3 condition must satisfied.

1/4/1999

before construction and purpose

@ Bhav, the loan should have been taken for construction or acquisiton only..after 1/4/2001 and the house should get constructed within 3 years itself from taking the loan. Only then a deduction upto Rs. 150,000 is available. Else, only  deduction upto 30,000 is allowed.

Loan taken for construction that you will get deduction of only Rs.30000/-