home loan repayment

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 April 2011 I have purchased a flat and have taken a loan from hdfc. Bank, I am claiming tax rebate for principal repayment as well as interest component under sec 24.my loan duration is 17 years out of which 5 years have passed. However, I would like to know the following:

01.As of now, I am repaying only Rs 72,000 towards interest component, which I would like to increase to max Rs 1,50,000.How will it benefit me? My aim to do this is to get maximum deduction benefit under sec 24. Can I only increase repayment of interest component keeping the principal component same.

02.Do I continue to get the tax benefit till entire loan is repaid or is there any time line up to which I can claim tax deduction.
03.Does bank charge any extra fees if i have to change emi?

Thank u regards

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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24 April 2011

1. If bank agrees you can increase the Interest portion, no restrictions in Income tax up to the limit of Rs.1.50 lakhs

2.No time limit prescribed for this deduction limit of years

3.Extra charges not eligible for deductions