Home loan interest exemption

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Aditya

Others

21 Points Posted on 21 April 2014

Dear Sir,

Last year I have purchased a residential property in Hyderabad by taking a home loan. But since the property is under construction in the FY 2013-2014, I couldn't claim for the interest exemption while submitting investment proofs in my company. The construction is completed in Feb 2014 (I got the possession of the house in Feb 2014), but I'm planning to shift by May 2014 (until then the property would be idle).

Now my query is can I claim the interest exemption for FY 2013-2014 while filing returns? (since the construction is completed in Feb, 2014). Can I claim HRA too until May 2014? along with Interest claim?

If I cannot claim the interest in last FY, can I claim the interest that I have paid till now in this FY 2014-2015? If yes, under what section? Please let me know.

Regards,

Aditya

Replies (4)

CA CS CIMA Prakash Somani

Landmark Group

18708 Points Posted on 21 April 2014

you can claim interest paid during construction period in 5 years starting from year of possession. once you got possession on record though you might not have shifted physically its self ready to owned and hra cease to be availed.

CA SUKSHAM ARORA

459 Points Posted on 21 April 2014

I AGRREE WITH THE ABOVE

syed nizam

accounts

25 Points Posted on 21 April 2014

I agrree with the above

srikanth

CA Practice

32 Points Posted on 22 April 2014

Occupied in Feb 2014, therefore the you can claim interest - SOP from April 2013 to Feb 2014, what ever the intereset paid prior to March 31.2013 you can cliam 1/5 of the interest for FY 2013-2014 along with the interest paid for FY 2013-2014