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SECTION 80EEA and 24b

22 April 2022

Husband & Wife jointly purchase a House Property on 23March, 22. Value of property Rs. 89 Lakhs. Can both of them claim Deduction of Interest under Section 80EEA , Limit 1.50 Lakhs. Are they eligible to claim deduction of Interest under Section 24b also.

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5 Replies

shrawan choudhary (132 Points)
Replied 22 April 2022

In my opinion,Sdv of such property is more than 45 lacs .hence not eligible for deduction under sec 8-EEA. Int under sec 24(b) --2lacs each if self occupied

debora M (BUSINESS DEVELOPMENT MANAGER) (1697 Points)
Replied 22 April 2022

The 80EEA deduction is over and above the Rs 2-lakh-deduction limit allowed under Section 24 (b). However, 80EEA deduction is linked to the cost of the house and is extended on the purchase of housing units worth up to Rs 45 lakhs. The affordability of the house is also decided by the carpet area of the property.

Shankar Rugge (369 Points)
Replied 23 April 2022

It seems both did not answer about deduction to be claimed by both husband and wife in respect of interest paid on housing loan. If wife and husband both have source of income and filinging thier IT returns then yes.

Since the property is jointly owned by you (the husband) and your wife, both of you are entitled to claim the benefit of interest under Section 24 as well as in respect of repayment of principal amount of home loan under Section 80C provided both are servicing the home loan.Sep 19, 2020

mantrana tsg (9 Points)
Replied 23 April 2022

Husband and wife are both employed and shall claim deduction for interest under section 24b and for principal u/s 80c. My query is that ownership being equal and each owner holding value Rs45 lakh share in property, they shall be also eligible to claim deduction under section 80EEA for interest. Please give your valuable advice.

Shankar Rugge (369 Points)
Replied 23 April 2022

For 80EEE claiming deduction
Housing loan must be taken from a financial institution or a housing finance company for buying a residential house property.
The loan should be sanctioned during the period 1st April 2019 and 31st March 2022.
Stamp duty value of the house property should be Rs 45 lakhs or less.
you should not own any other house property on the date of the sanction of a loan.
Conditions with respect to the carpet area of the house property. These conditions have been specified in the memorandum to the finance bill, but not mentioned in section 80EEA:er
Further note
The carpet area of the house property should not exceed 60 square meter ( 645 sq ft) in metropolitan cities of Bengaluru, Chennai, Delhi National Capital Region (limited to Delhi, Noida, Greater Noida, Ghaziabad, Gurgaon, Faridabad), Hyderabad, Kolkata and Mumbai (whole of Mumbai Metropolitan Region)
Carpet area should not exceed 90 square meter (968 sq ft) in any other cities or towns.
Further, this definition will be effective for affordable real estate projects approved on or after 1 September 2019