For interest portion of home loan there is limit of 1.5 lacs.. lets say an assesse purchased and registered the house in his spouse' name.... and the loan docs.. he has his name as coapplicant (he is the one who pays, spouse doesnt hav any income) . can he still claim that interest..under which section (as the actual interest comes to 5-6 lacs)??
He is having another house (vacant) in his own name..! whether income from house property has to be shown??
what would be the wealth tax impact?
can it be planned by showing the house (first one) given on rent and claiming the entire interest paid and adjusting the same against the salary income..!!
26 May 2012
The wife has no income and the husband is repaying the loan and it is assumed that the building also in the name of joint owner. The husband is only discharging the obligation of his wife. He will be entitle to 50% of the interest to be deducted from his income subject to limit of Rs. 1.50 Lacs. However, if he let the property on rent, he will be entitle to deduct the full interest from his income and 50% of rental income.
CAclubindia
