Income tax deduction for home loan

512 views 6 replies

If a person buys a flat and gets it registered in the name of his wife, will he get Tax deduction?

Note: Loan is taken by the husband, and he will be paying the EMI. The wife does not have any source of income.

He wants to get the flat registered in name of his wife to save the stamp duty which are available to a woman.

Replies (6)

In my opinion, that is not possible. 

You and your wife will have to be co-applicants for the loan.

If you are neither the owner nor the co-owner of the apartment, you will not be eligible for any tax benefits on the loan repayments.

Even if you become the co-owner of the flat and co-applicants for the loan, in that case also deduction shall be restricted to the share in the property.

Thank you.

Is there any way out, to save tax here?

Its better to register the flat in the name of husband only to avail the benefit of interest paid u/s 24 of the income tax Act, 1961.

Register the flat and take the loan in name of the person who wants to take benefit of the deduction.

It is possible to claim the deduction. The deduction will be available to the real owner of the property and that can be proved from the records of payment. You will have to show that the payment is made from your bank account and that you are the real owner of the property and hence all the deduction be allowed to you, being the true and real owner of the property.

It would be much much better if co-ownership is possible.

Same also applies in case of capital gain. I have been adamant on my this view since years and in my parents' case also I did the same. I received the notice and gave all the explanations and the exemption was allowed.

[Well, It is important that AO is also a like-minded individual.]

 

Your call.

tell me tax benefit on top up of home loan and home equity loan

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
24 June 2026
Chartered Accountant

CA Darshita Shah & Co

Nadiad

CA

View Details
Company
25 June 2026
AUDIT MANAGER

JDAS & ASSOCIATES

New Delhi

CA

View Details
Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
Featured 24 June 2026
HEAD - AUDIT AND TAXATION

A R JADHAV AND ASSOCIATES

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 30 June 2026
Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 27 June 2026
Article

SNCO

Mumbai

CA Inter

View Details
Company
20 June 2026
Assistant Accounts Manager

Fintax Professionals

Gurgaon

CA Inter

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details