Housing loan

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

01 March 2013 Dear Friends

Please help in the following:-

1. Whether Insurance premium paid on account housing loan is part of dedcution u/s 80C or part of deduction under Housing Loan Interest.

2. Actual Interest paid agaist housing loan is for 2 months. Can the deductuion is allowed for 2 months or for the whole year.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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01 March 2013 i believe the same should get deducted under the 30% deduction provided under section 24.

the accrued interest is allowable as deduction.

Mihir Doshi

Mihir Doshi (Expert)
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01 March 2013 Agree with Expert

Ins. premium paid on House wont be allowed as specific deduction while Interest is allowed u/s 24(b) of IT act for self occupied property till 150000/-. Since your liability is only for two months then you can get lower of your Interest amount or 150000/-.

Hope query is resolved.

Thanks
Mihir Doshi

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Querist : Anonymous

Querist : Anonymous (Querist)

02 March 2013 I have gone through Section 24 of the act it is clearly stated that there will be no deduction for the expenses incured on account of Insurance, ground rent, repairs collection charges etc.

Please comment on this

Santosh Mishra

Santosh Mishra (Expert)
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02 March 2013 Only 30% of net annual value is allowed as standard deduction, this is exhaustive and no other deduction is allowed. It means no separate deduction would be allowed for Insurance etc.

Needless to say that standard deduction is allowed only for let out property as annual value of self occupied is taken as NIL.