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Deduction for home loan

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Koshambi Sharma

7 Points Posted on 18 November 2020

we had taken deduction for interest paid on home loan & claimed its deduction I'm ITR filed for AY 20-21
Now, we are cancelling the home loan for which deduction was taken & taking a fresh loan with varied terms

Do we need to amend our return filed and file a new return instead?

I have a strong instinct that amendment of a loan agreement has nothing to do with deduction claimed in ITR as we has already paid interest for full FY.

Replies (3)

JATINDER KUMAR

Accountant

3662 Points Posted on 18 November 2020

No need

queryinsta054@gmail.com

234 Points Posted on 18 November 2020

As long as the Interest Certificate given by the lender for A.Y. 2020-21 does not change, the return need not be revised.3rd proviso to sec 24(b) states that no deduction can be claimed unles the assessee furnishes a certificate from the lender specifying the amount of interest payable by the assessee i.e. the interest claimed as deduction should always tally with the interest certificate issued by the lender

Shivam RC

Student

23688 Points Posted on 18 November 2020

No need to Revise your Return since for FY 2019-20 the Interest has already been paid by you. You have claimed the eligible amount of interest for FY 2019-20 ( AY 2020-21 ).

From next Assessment Year claim deduction of Interest as per the new Loan Agreement...