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Regarding hra and home loan emi

karmesh (consultant) (32 Points)

27 March 2012

Hello Experts,

Can i claim HRA and Home loan EMI both togather?

As i have purchased home in Pune and paying home loan for same, while i am staying in Bangalore on Rent.

Regards,

Karmesh

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9 Replies

Giridhar S Karandikar (Team Lead) (7543 Points)
Replied 27 March 2012

Hi Karmesh,

Yes, you can claim both the HRA & Home loan interest at one time. The only thing for claiming exemption u/s 10(13A) for HRA is that you should pay rent.

1 Like

Harshal Fifadra (Chartered Accountant) (1489 Points)
Replied 27 March 2012

Agree with Mr . Giridhar

1 Like

vivekananda reddy (ca) (37 Points)
Replied 28 March 2012

mr.karmesh,

u can claim the both HRA and house loan together,but

u have to show the payment of house loan interest saperatly and hra saperatly

1 Like

GOPINATHAN (accounts officer) (48 Points)
Replied 28 March 2012

I have Three Own houses in chennai and also i am living in Rental House. Shall I claim HRA and Housing Loan Interest?

Please advice me

Giridhar S Karandikar (Team Lead) (7543 Points)
Replied 28 March 2012

Yes you claim HRA & Interest. However in respect of your houses, you cannot show all the three houses as self-ocupied. Only one house of your choice can be shown as self-occupied & on the remaining houses you will have to show deemed rental income whihc would be the fair rental in the adjoining areas. However you will get a deduction of the actual municipal taxes paid from your rental income & on the balance you will get an Std dedcution @ 30%. the house with the highest interest outgo can be shown as deemed to be let out as you can get the interest deduction without any limit and the loss if any arising from it cna be set-off against the other incomes.. But in case of self-occupied house interest only 1.5lacs can be shown as deduction from gross total income. so you can assess your interest liability and accordingly choose the house whihc is to to be treated as self-occupied & the other two as deemed to be let out.

GOPINATHAN (accounts officer) (48 Points)
Replied 29 March 2012

Thanks Giridhar, All my three houses are let out property , i have earned rental income and i am not living in my own house, i am living in Third person property , monthly rent is 14500 . In this case shall i claim 3 houses interest and principle and HRA?

Srikanth (Tax Associate) (297 Points)
Replied 30 March 2012

Ya........ you can claim HRA u/s. 10(13A) Rule 2A & Housing loan EMI u/s. 24b ( for interest ) & Sec. 80C (for principal) irrespective whether you have letout or self occupied house. But the for claiming HRA you should be in rented home & paying rent.