01 February 2012
Repayment of any loan consists of two parts, namely, principal and interest. Interest portion is deductoble u/s 24 while computing income from house property (whether residential or commercial) subject to ceiling and certain conditions to be fulfilled as mentioned in the section. Principal portion is deductible from gross total income of the assessee u/s 80c subject to the ceiling and certain conditions mentioned in the section. For claiming deduction u/s 80c, one condition is that the house property needs to be only residential house property. -Abhishek Gupta
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