personal loan is tax eligible

Personal loan when used for personal need (& not for any business or housing purpose) is not eligible for any tax exemption.

Originally posted by : Pratik Dhas
	personal loan used for buying a land there is tax exempt

Will you construct house property on that land?

So you will be able to claim deduction of principal amount u/s 80C

and interest portion after construction will be overe then u/s24(b) pre construction interest / 5 years and post construction on actual payment

deduction under section 80C for repayment of house loan paid in a previous year can only be claimed if house construction is completed before the end of previous year.

Words in act is if loan is taken for purchase or construction of house property so if you have taken loan for construction then yes you may claim 80C of principal amount