Query on Income tax

Dear Sir / Madam,

Me & my wife have jointly taken a housing loan & have been showing the 1.5 lakh allowable housing loan interest on both our incomes.

In the same on my income, I show a deduction of 1.50 lakhs & she shows a deduction of 1.50 lakhs on her gross income. Saying that, the cumulative interest paid to the bank is above 3.0 lakhs.

We have been doing this for the last 2 years as advised by our auditor BUt suddenly this doubt of whether both of us can show this deduction was raised by a banker, whom we had approached for a home loan take over.

Can someone clarify the law, pls.

Regards,

Rajesh

Replies (4)

Sir,

If you have taken Home Loan in Joint Name and the proportion if loan if 50:50, then you would have submitted Form 12C with Income Tax Department, either personally or thru bank. This form clearly states the proportion of deduction you & your wife will claim u/s 24 & 80C.

Thus if this is the case, you both can claim deduction under above sections.

Yes, if the House Property (SOP) is owned by more than one person, all co-owners can claim interest u/s.24 (b) in respect of their share of interest payable on joint home loan taken by them subject to limit of Rs.150000/- for each co-owner.

Originally posted by :Abhinav Agarwal
" Sir,
If you have taken Home Loan in Joint Name and the proportion if loan if 50:50, then you would have submitted Form 12C with Income Tax Department, either personally or thru bank. This form clearly states the proportion of deduction you & your wife will claim u/s 24 & 80C.
Thus if this is the case, you both can claim deduction under above sections.
"


 

Dear Sirs,

Many thanks for the clarification. I had been out of town & had limited access to internet, hence this delayed message.

Thanks again.

Rajesh

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