Home loan

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 October 2012 Dear Sir,
Suppose, home loan paid during the fy 2011-12 is Rs. 220000/- ( Rs. 180000/- principal amount + Rs. 40000/- as interest ).

U/s sec. 80c assessee can claim the amount of principal or interest paid and what would be amount of deduction.

Please advise me.

CA. Subhash Dangi

CA. Subhash Dangi (Expert)
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30 October 2012 U/s 80C maximum upto Rs. 1 lakh allowed as savings for payment of Principle amount.

If your house is self occupied, upto Rs.150000/- can be allowed as deduction U/s 24b. In your case entire Rs.40000/- can be allowed under this section.

Querist : Anonymous

Querist : Anonymous (Querist)

30 October 2012 u/s 80C deduction is available for principal or for interest paid?
Please clarify.

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CA. Subhash Dangi

CA. Subhash Dangi (Expert)
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30 October 2012 80C deduction available only for principal payments not interest.