Income tax / deduction on interest of second house

Dear Hardik,

As regards 1st house at native place, you can claim full deduction of  interest amount on loan bcoz limit of interest does not apply for letout property.

For another new house at baroda, as you and your wife both are co-owner so you both are eligible for claiming interest deduction and principal amount of loan in the ratio of  loan taken provided you both should be co-applicant of the loan bcoz if  only you have taken loan then you can take deduction in respect of your share in your house. You and your wife both are eligible for interest deduction upto rs 150000 each u/s 24 bcoz house is self occupied and  upto rs 100000 each u/s 80c for principal amount.

I hope this will help you.

Thanx

CA Anubhav Vishnoi

8750089567