interest on home loan

hi,


I am feeling sensational knowing that CPT result to be declared after 1 an hour.


well hope all the deserbed candidate should pass with excellent marks.


Actually i have a problem whether interest on loan taken for home construction will be taken into consideration while the home construction  has been completed even the installment has being  paid yet .and how much interest can be considered  in a year as a deduction under house property .



Thanks & Regards
Abid
Replies (1)
Attention is invited to section 24(b) of the IT Act :

Interest on pre construction will be allowed as deduction in 5 installments commencing from the previous year in which the house was constructed/ purchased.

After the construction period, Deduction can be claimed upto Rs.1.5 lakhs p.a

Cheers
Prashanth

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