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Interest deduction on joint loan but single ownership

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Yashwa yashu G

21 Points Posted on 22 September 2023

A) Joint loan is borrowed for purchase of house property by husband and wife , and the property is purchased in the name of wife. Can the husband claim interest deduction as self occupied property even tho he isn't the owner?

B) are clubbing provisions attracted as the loan taken was finally used to purchase the property in name of wife , doesn't It constitute as gift ?

Replies (3)

Quick Summary

This discussion addresses whether a husband can claim interest deductions on a jointly borrowed loan for a property solely owned by his wife. It clarifies that typically, only the legal owner can claim deductions for a self-occupied property. The thread also examines if clubbing provisions apply due to the loan being used for the wife's property, concluding they are generally not attracted in this scenario.

RAHUL RAJU

107 Points Posted on 22 September 2023

A) No, Husband cannot claim since he is not the owner so how can he claim as self occupied property. However please check sec 27 for deemed ownership also