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Relating to deduction u/s 24(b)

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Manoj Pandit

student

139 Points Posted on 09 December 2013

the assessee is owner of 2houses(i.e.a&b). he took loan for the construction of house b only which is sop.. as per the provisions he can claim to the total of 150000 interest amount paid by him including pre-completion period interest. Query is: 1. can he claim this interest amount from his both house properties..?? 2. if interest amount exceeds 150000, is it possible to claim the excessive amount of interest from the other house..?!(i.e. deemed sop or lop).. Thank You in advance.

Replies (2)

Guest

Q1. The other house will be deemed to be LOP even if not let out. you can deduct municipal taxes and 30% for repairs from the annual value. But you cannot deduct hsg loan interest of other house from this house.

Q2. You cannot claim the interest in excess of 1.5L from the annual value of the other house.

The best thing to do is, if the interest on hsg loan on house A exceeds 1.5L, then take house B as SOP and house A as deemed to be LOP. That way you can claim municipal taxes, 30% fr repairs and the whole of interest against the annual value of house A. In that case you will not be entitled to claim that hsg int again on SOP .