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Tax benefit on home loan if possession after 3 fyrs

Tax queries 2697 views 1 replies

Chaitenya yadav

Others

24 Points Posted on 09 December 2013

I want to know that whether any provision for tax benefit on house loan interest for my case who’s builder giving flat possession after 3 financial year..

I taken home loan from HDFC Ltd in Mar-2010. Till now I am paying pre-emi to HDFC and not yet receive possession from builder. The builder told that he will give possession in Dec 2013. So I have paid pre-emi for following finance year

FY 2009-2010 : PRE-EMI
FY 2010-2011 : PRE-EMI
FY 2011-2012 : PRE-EMI
FY 2012-2013 : PRE-EMI
FY 2013-2014 : will get possession in Dec 2013

Will I get any tax detection on interest which I paid as Pre-EMI between in last 4 finance year 2009-14 under section 24C next year ( F.Y. 2013-14 ) onward like other are gettting to divide all pre-emi in 5 equal installment. ?

Till now I have not taken any house loan tax rebate on taken loan .

Thanks in advance

Replies (1)

Swami Ayyappa Nuli

TAX ADVISOR & CONSULTANT AT G.S.T SUVIDH

1372 Points Posted on 10 December 2013

Generally,You must be owner of the property to cliam housing loan repayment u/s 80C and Interest/Prior period Interest under the head Income from House property.In your case ,you should prove that property is registered under your name and Sale deed is executed to that effect by 2013(F.Y) so that you can claim interest paid on HDFC loan as prior period interest in 2013,If sale deed is executed on your name in 2010,but possession is not transferred to you,i think you can claim Housing Loan repayment from F.Y 2009-10 but you need to wait till 2013 to claim Interest paid as prior period interest for the interest paid between sale deed was executed and possession was given,citations needed