Income tax deduction.

according to act, pre-completion interest is allowed as deduction in 5 equal instalments from the year in which construction is complete and post completion interest is allowed as deduction in the year of payment.... so according to act, you cannot claim deduction of 186000 in AY 14-15 but can be claimed (186000+ intt of april to june/5) yearly from AY 15-16.

Hi Tribhuvan,

Thanks for your reply.

Lets say if i would have got possession letter in Feburary 2014 or Dec 2013 then how would i have claimed that?

 

Regards,

Deepak

then intt upto dec 13 or feb 14 will be allowed in 5 equal instalments and intt after dec 13 or feb 14 will be allowed upto amt. that is actually paid. let is take an example, suppose intt upto dec 13 is 10000 and intt from jan to march is 3000, then deduction u/s 24b for intt. will be [(10000/5)+3000] = 5000.

Hi Tribhuvan,

thanks for your response.

So according to your response if i would have got the letter in dec 13 or feb 14 then i can ask for rebate in this assesment year 2014-15.

 

yes you got it correct.

Hi Tribhuvan,

Thanks for you reply.

Got it.. Now anyways i have possession letter of June 2014. I have to do it for next Assessment year.

One final question.

Next Year While filling IT-Return, Can I calim for 2lacs rupess intrest (as per new laws) + PEMI/5 OR only claim max for 2lacs rupees?

My current loan intrest is more that 2 lacs per annum so if i only can claim 2 lacs then how to claim PEMI in successive years?

 

 

 

 

the overall limit is of 2 lakhs... first PEMI intt will be allowed from this 2 lakhs and then post emi intt..... this limit of 2lakhs is for self occupied property.one more suggestion is that if you let out, then this limit is removed and you can claim total intt. on loan....... so if you want to claim whole of intt as deduction then you need to let out this property.