We have bought New House With joint name husband & wife By Hoome loan,We have paid interest above 320000,Principal amount 210000 than we will exemp both form 16 interest 1500000 & pricipal 1000000 me & her
16 May 2011
If you have taken the home loan in joint name, the tax benefit (for both principal repayment and interest paid) would be available to both of you if the house is also in joint name.
The tax benefit is available in the ratio of EMIs paid – thus, if person 1 pays 40% of the EMIs, and person 2 pays 60% of the EMIs, the tax benefit would also be available in the proportion of 40% & 60%
Let’s say you and your spouse both earn Rs. 10 Lakhs per year.
For the home loan, you repay Rs. 1,40,000 per year as principal, and Rs. 2,50,000 as interest.
If the home loan is in just your name, both these deductions would be available only to you – but subject to the upper limits (or caps). Thus, your taxable income would be:
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