Tax Benefits for Home Loan interest

Interest for the pre-construction period is deductible in five equal instalments. The first instalment is deductible in the year in which construction of the property is completed or in which the property is acquired. " Pre construction period means the period commencing on the date of borrowing and ending March 31, immediately prior to the date of completion of construction/date of acquisition or date of repayment of loan, whichever is earlier.

In ur case pre construction period means the period from March 08 To March 09. The entire interest paid by u during this period is deductible in five equal instalments. The first instalment is deductible in the FY 2008-09.

From the FY 2009-10 u will be entitled to a deduction of one instalment of the pre construction period interest in addition to the amount of interest paid by u through the EMIs during the FY 2009-10 subject to the maximum of Rs. 150000/-. Total deduction u/s 24 cannot exceed Rs.150000/-

Hi,

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You can cliam housing  loan repayment as deduction u/s 80C-

The following are the conditions which are to be satisfied are as follows-

1) The house should not transfer for a period of 5 years, if you transfer , the aggregate of deduction availed earlier in respect of such repayment of installment shall be deemed to be the income in the year of trransfer of property

2) The deduction including other savings undfer section 80C is limited to Rs.1,00,000/- only