Query on emi paid during pre construction of flat

Pre-contrstruction interest should be claimed only after the flat is fully constructed and developer is handed over the posession certificate.

Therefore, you can claim pre-construction interest deduction for 5 equal installments in subsequent financial years from the date of completion of building or flat.

I agree with Dangisir.

Thanks for replying to my query. But its not answerred completely.

After getting posession of my flat, I can claim the interest paid during the construction phase. But the maximum interest I can claim is only 1.5 laks in a year.

In that case how can I claim the interest paid during the construction phase as I will get exhausted the upper limit of 1.5 lakhs in the year from which I get the posession.

Interest deduction on housing loans under section 24(b) is allowed only on acquisition or completion of the house property.

However, interest deduction for pre-acquisition or pre-construction period is also allowed but only after acquisition or construction is complete. It is allowed in 5 equal annual installments.

But even after including the above, the total deduction should not exceed Rs. 1,50,000 per annum in case of Self occupied property. 

In case of let out property,  there is no limit of interest payment inclusive of pre-interest.