04 April 2008
Interest On Housing Loan U/s.24 I am a member of housing society.I have taken loan for payment of construction cost to society.Subsequently,I obtained loan from employer & repaid the bank loan.I have paid Interest of Rs.50000 during the period 01-04-2005 to 31-3-2007.Further I have paid Rs.25000 as interest for the period 01-04-2007 to 31-03-2008.Allotment letter was issued by society in Sep-07.However possession was yet not been given. Can I Claim deduction U/s.24 in the F.Y-2007-08 for interest paid & 1/5th of interest for earlier years.
04 April 2008
FROM THE DATE OF COMPLETION OF CONSTRUCTION(EVEN IF POSSESSION IS NOT GIVEN),YOU CAN CLAIM INTEREST ON HOUSING LOAN DEDUCTION UNDER SEC. 24. BEFORE THE DATE OF COMPLETION OF CONSTRUCTION YOU CAN CLAIM INT. IN 5 INSTALLMENTS. R.V.RAO
CAclubindia
