Excess deduction claimed under 80c help

This query is : Resolved

PRATEEK GROVER (Querist)
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03 March 2016 My clent has received notice u/s 245 for demand of A.Y 2013-14.

In return filed by her she has made a mistake which is given below

Total salary income- 4,81,512 80C Deduction- 1,94,116 (however the limit was 1lc) Actual breakup of 80C Deduction was ( Home Loan interest- 124482 (which should be claim in house property income) + Lic premium-69634)

As a result a demand of 8000 has been raised by the department for the respective A.Y.

Please help me to provide remedy for the matter. If there is any

CA Vap Patel

CA Vap Patel (Expert)
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03 March 2016 Client must have filed physical return otherwise in online return system don't accept claim over and above one lac under 80C

You rightly said that Loan interest of 124482 should be claim under house property and principal repayment of loan should be claimed u/s 80C

So net result is you can claim principal up to 30,366(1 lac- 69634) and full interest of Rs 124482 as loss under house property

File rectification application with local AO and put the matter before him explaining detail fact of the case.