Treatment of interest

Yea ......thanks sivaram for clarrification.........I thought of in other way.............

As the house property is used for the purpose of running business, then interest on loan before the construction should be capitalised...Agree with Gaurav Raichura...

Kind. Attn. Sivaram

Mr. Sivaram, AS-16 givens only examples of some of the qualifying assets and Mr. Suri Kota has mentioned one of these examples in his reply i.e. manufacturing plants. So I replied him that it can also include factory building.

As far as your question relates, my answer is qulifying assets also includes administrative buiding because generally a new building can't constructed within short period.

Futher, if the house property is DLOP, the computation of the income of such house property is to be made considering it as Let Out Property and in LOP cases, interest fully deductiable u/s. 24