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Tax benefit on two home loans

TDS 1275 views 1 replies

surekha sawant

Accountant

55 Points Joined March 2012

Dear sir,

My query is, If Husband & wife (both are co-applicant & co-owner) have two houses and paying EMI for both house. Can they get deduction benefir for both house?

Suppose for example Home Loan 'A' has principal component of Rs.55,000/- and Interest component is Rs.7,66,000/-

Home Loan 'B' has principal component of Rs.89,000/- and interest Component Rs.1,79,000/- .

In this case what is the tax benefit can availed individually by both husband & wife

Replies (1)

Mihir Doshi

B.Com CA CS LLB

2187 Points Joined July 2008

Both of them can claim deduction for their respective portion in the house. Out of two, one house will be deemed to be let out while other is self occupied property. You need to calculate and check which house would be more beneficial in terms of tax planning and consider the same either self occupied or deemed to be let out