deduction under section 24

Friend N.Sivaraj
 

the interest is paid for pre contruction so u/s 24 of income tax act you are liable to claim deduction of  1/5 th interest paid . and after construction completed  you can claim intrest 150000 or interest paid  whichever is less.

Yes you are right Mr N sivaraj. You can claim the entire interest during the period 2009-10 if the construction is completed during this period. As per the provisions of the Income Tax Act it will not be treated as pre - contruction period interest.

Originally posted by : nilesh dube
	Yes you are right Mr N sivaraj. You can claim the entire interest during the period 2009-10 if the construction is completed during this period. As per the provisions of the Income Tax Act it will not be treated as pre - contruction period interest.

ya agree

no dear u cant claim this as pre construction u/s 24  becoz it is avaiable for preceding previous year means upto 31 03

09 in u r case

but as u have taken this loan from hdfc a recongnized financial inst  den u can claim this u/s 80c

Hi Sivaraj Ji,

Yes. You can claim the entire interest because the pre-construction period ends on the date of end of the F.Y. immediately preceeding the financial year in which the construction is completed.

So, in your case, you claim the entire interest in the same year.

Interest on Loans-sec24(b)

Interest relating to the year of completion of construction cn be fully claimed  in that year irrespective of the date of completion  and interest accrued during construction preceeding the year of completion of construction is accumulated and claimed as 5 equal instalments.so in your case you can claim the entire interest in the same financial year

pre-construction interest for the purpose of section 24(b), shall be interest from the date of borrowing  to the 31^st March immediate preceding the date of completion of construction.

in ur case date of borrowing is in june-09, so pre-constuction interest should start from this date, and should end on the 31st march immediate preceding the date of completion of constuction.

construction is completed in oct-09, so pre-construction interest should be count upto 31-03-2009,......

s.sssssssssss...., but loan was not existed on this date, hence no pre-constrution interest.

Entire interest during the year 2009-10, is liable to deduction u/s 24(b).

Agree with Anshu Agarwal.........

Entire Interest can be claimed as deduction u/s 24b..............Construction complete on Oct - 09.....

yes, U can claim the whole amount of interest in the year itself.