13 March 2013
Sir, i have purchase open plot. and i have taken loan for home. can i take interest deduction in house property. once thing note down. construction not started yet.
13 March 2013
After completion of construction only you can take the interest deduction benefit and as well as interest from the date of loan till the completion of construction shall be considered as pre-occupied interest and it is allowable deduction in five equal instalments from the year of construction completed. For full details and brief clarification please refer the section 24(b) of income tax act it gives clarification upto which date interest shall considered as pre-occupied interest and from which year interest deduction available etc.... because of it is depending on the completion of your construction and starting or payment of EMI. For any more and clear details please post your doubt.
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