15 January 2014
Dear Sirs I Have taken a Housing Loan for my self occupied property in FY 10-11 from ICICI Bank Ltd During the FY 12-13 I paid intt of Appx.Rs.83000 and Principal Appx. Rs.206000 towards this housing loan. My Question is:- 1)Can I deduct this intetest amount of Appx Rs.83000 as interest on borrowed capital from my total taxable income. 2)Also, can I claim the deduction of principal amount paid Appx Rs.206000 seperately u/s 80C
15 January 2014
Yes. You can claim deduction of interest from "Annual Value of Self Occupied House Property" (Nil) and the loss of Rs.83000 can be set off against your other income. Deduction u/s 80C (1 Lac) can also be claimed on account of principal repayment.
CAclubindia
