can do borrowers claim separate deduction under section 24 and 80C?
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Quick Summary
This discussion clarifies whether co-borrowers can claim separate tax deductions for both the principal amount of a home loan under Section 80C and the interest paid under Section 24. The consensus is that they can. Deductions for home loans are typically claimable from the financial year the construction is completed, with pre-construction interest being allowed in five equal instalments.
If the coborrowers apply for home loan in FY 2021-22 for purchasing plot and construction of house property and they complete the construction within 5 years of purchasing the property. in aforementioned scenario from when the coborrowers will be eligible to claim deduction and in what ratio?
Deductions of home loan is allowed from the year in which the construction is completed, preconstruction period interest is allowed in 5 equal installments