Interest deductable u/s 24

268 views 6 replies

Manju Priyanka

5 Points Joined April 2018

Hi,
My father wants to purchase a house property in the name of my mother ( who is a house wife with nil earnings) & banks said they will give home loan in the name of my mother & co-applicant as my father & all the EMI's will be paid by my father only.
now my question is whether my father is entitled to interest deduction u/s 24? (even though he is not the owner of the house).
if yes, explain me under which sec my father can claim ?

Replies (6)

rahul karke

93 Points Joined May 2017

Yes.he is entitle to claim interest u/s 24b

Ashay Shah

31 Points Joined November 2017

As per section 24b of the Income Tax Act,
it is thereby said that in order to get dection of hoising loan interest in case of joint owners they need to be co borrowers,here the same is satisfied,hence the father or mother even can claim the benefit of this interest paid in section 24b(upto 2,00,000 Rs.) & 80EE (another 50000Rs.)
and principal deduction as well as registration and stamp duty charges will be allowed under section 80C of the Act

Good Luck

Manju Priyanka

5 Points Joined April 2018

Here it is not the case of joint owners. Only my mother is the owner of the property , my father is not.

PARESH RANA

Accountant

24 Points Joined February 2017

No He can not take benefit u/s .24b.

Ashay Shah

31 Points Joined November 2017

Considering the said fact by you as they are jeither the joint borrowers nor the co- borrowers .
So, as per SECTION 24b you will not be able to get the deduction benefit for your father.
But mindwell still you can claim deduction benefit in your mother by filing ITR on time & claiming loss and carring forward for 8 Assessment Years and setting off against any incomes.

Good Luck