HOUSE PROPERTY

This query is : Resolved

divya khanna (Querist)
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07 July 2009 IF AN ASSESSEE ALREADY OWNS A HOUSE AND HAS TAKEN A LOAN FOR IT, HE IS ELIGIBLE FOR EXEMPTION OF Rs 1,50,000 UNDER SECTION 24 AND Rs 1,00,000 UNDER SECTION 80C.

IF THE ASSESSEE BUYS ANOTHER HOUSE AGAINST LOAN,THEN WILL HE BE ELIGIBLE FOR ANY DEDUCTION UNDER SECTION 24 OR 80C AND WHAT WILL BE THE LIMIT FOR THE SAME??

Manmohan ACA, CS

Manmohan ACA, CS (Expert)
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07 July 2009 decution u/s 80C is for repayment of principal amount of Loan taken for purchase/ construction , and deduction under section 24(b) is for Interest of loan taken for house property. purchase/ construction

Both Interest of loan taken for house property u/s 24(b) shall be allowed to the maximum of Rs. 150000 p.a. for each self occupied house irrespective of number of house owned by assessee. Ni limit is there for let out house.
Further deduction u/s 80C repayment of principal amount of Loan taken for House purchase/ construction and the limit is Rs. 100000 for all the house and other deduction under section 80C