Home loan interest - claiming deduction u/s 24b

Hi,

 

Here is my concern.   I have a home loan of 68L (second home) and I am about to get possession in Dec-2015.

 

Builder is giving possession letter in Dec-15 or Jan-16.   I already have paid pre-emi interest of around 3L in FY 2013-14.    I may end up paying 6L on interest part in FY 2015-16.

 

Can I claim whole interest  6L + 0.6L  (3L/5)  = 6.6L in current FY?  

 

As this is my let out property can you guide how to calculate notion rent and muncipal taxes as possession letter is coming in Dec-15.

 

 

Regards

Suresh

 

 

 

 

Replies (5)

As this is your let-out property and there being no limit for claiming interest deduction on home loan, you can claim the entire interest as stated by you.

for calculating notional rent you need to know the market rate that is going in the locality where your house is situated. You need to calculate your notional rent for Dec15-Mar16 period and claim minicipal taxes.  From the balance you can claim 30% standard decuction and the interest amount.  I think that you will end up in a loss from your property so you can claim this loss in your taxable income by which your tax liability would get reduced

Originally posted by : Giridhar S Karandikar
As this is your let-out property and there being no limit for claiming interest deduction on home loan, you can claim the entire interest as stated by you.

for calculating notional rent you need to know the market rate that is going in the locality where your house is situated. You need to calculate your notional rent for Dec15-Mar16 period and claim minicipal taxes.  From the balance you can claim 30% standard decuction and the interest amount.  I think that you will end up in a loss from your property so you can claim this loss in your taxable income by which your tax liability would get reduced

Thanks Giridhar for quick reply.   I have to declare my investment to my employer.  How to tell my employer about my "loss in income from property"   we have section to declare our home loan principal and interest amount but how to declare loss in income from property

 

There must be a column "Income from source other than salary".  You need to disclose it there.

else please check with your HR personnel how shall this loss be decelared.  If they say that you can't disclose it then you are left with the only option of claiming the refund in your return of income.

Hi Giridhar, I have to submit investment proofs now. I am getting possession letter in last week of Feb16 from builder
So in this case, notional rent would be for one month or for entire year?

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
19 October 2026
Accountant

Jari Saree Center

New Delhi

Others

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
08 October 2026
Accounts and Tax Associate

POOJA R TELI & CO

Pune

CA Inter

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
15 October 2026
Senior Accountant

Continental Belting Pvt Ltd

Mumbai

B.Com

View Details
Company
12 October 2026
Finance

I-Genext Consulting Private Limited

New Delhi

CA

View Details
Company
08 October 2026
Account Executive

Elite Taxation

New Delhi

CA Foundation

View Details
Company
10 October 2026
Accounts Associate Level 1

Abic and Mani Chartered Accountants

Kottayam

B.Com

View Details