15 June 2008
Hi, If an assessee has two houses, one is self occupied and other is rented. Assessee has taken house loans for both the houses seperately and the interest payment in aggreggage exceds Rs 150,000.00 Please advise Is (i) Assessee can claim interest for more than 150,000.00
16 June 2008
Here assessee can treat one house as self ocuupied and claim the interest deduction with respect to that house at a max of Rs 1.5L. The other house being rented out interest relating to that house can be claimed without any cieling after offering rental income.
16 June 2008
The Ceiling limit of Rs. 1.50 or 30 thouand as the case may be applied only for self occupied house under Sec. 24 and for rented there is no ceiling limit. So you can claim interest for more than 150000/- provided the house is acquired or constructed with capital borrowed on or after the 1st day of April 1999.
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