INTEREST ON HOUSING LOAN REPAYMENT

This query is : Resolved

Jayant (Querist)
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20 February 2008 I HAVE TAKEN HOUSING LOAN IN 2005 TO PURCHASE A NEW HOUSE AND CLAIMING DEDUCTION U/S 24B AS SELF OCCUPIED HOUSE PROPERTY LOSS FROM INCOMR FROM SALARY. NOW I HAVE TAKEN LOAN FOR HOUSE REPAIRING/RENOVATION. CAN I CLAIM DEDUCTIN FOR THE LOAN REPAYMENT FOR PURCHASEM OF HOUSE AND LOAN REPAYMENT OF HOUSE REPAIRING /RENOVATION. I AM PAYING INSTALLMENTS OF BOTH THE LOAN. SO CAN I CLAIM DEDUCTION U/S 24b for both the loan interest and principal.
please guide me.

jegannath G

jegannath G (Expert)
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20 February 2008 Sorry you cannot claim the principal portion of the loan taken for repairing the house. Only the interest portion restricted a maximum of rs 30000 on the loan taken for repair works.

All above is apart from Loan taken for Purchase of house

CA Saurabh Maheshwari

CA Saurabh Maheshwari (Expert)
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21 February 2008 FOR REPAIR AND RENOVATION MAXIMUM DEDUCTION IN RESPECT OF INTEREST IS 30000/- AND IF LOAN IS TAKEN FOR PURCHASE OR CONSTRUCTION OF HOUSE PROPERTY THAN MAXIMUM ALLOWABLE DEDUCTION IS 150000/- .IN RESPECT OF PRINCIPAL LOAN AMOUNT DEDUCTION UNDER SECTION 80C IS ALLOWABLE

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