Joint house loan interest

This query is : Resolved

P (Querist)
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12 March 2013 A couple is joint owner in 50-50 ratio in house property and house
loan. The wife is non working and the husband is paying full amount of
principal and interest from his salary income. As per the act both are
entitled to tax benefits inn 50-50 ratio. But as only the husband is
paying full amount, can he claim full deduction of principal and
interest?

Please give case laws or extract of law in support

Santosh Mishra

Santosh Mishra (Expert)
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12 March 2013 Income from house property is assessed to individuals as per owner’s share in property.

So, husband can claim deduction as per his share only subject to limits provided.

Please refer section 26 of the Act.

Ex:In case ownership is 50:50

If total interest paid is 300,000 & property is self-occupied, they both claim Interest benefit up to 150,000.

If total interest is 200,000 in above case, they both are eligible to claim benefits up to 100,000.

At first instance, eligibility to claim deduction is that they both should be co-owner as well as co-borrower.

P (Querist)
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15 March 2013 But as husband is paying all the interest and principal from his salary and wife is non working.Shouldn't he get the full deduction

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Santosh Mishra

Santosh Mishra (Expert)
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15 March 2013 Unfortunately benefits are available as per their share in property.( as per my understanding .

I request other respected Experts to provide their views on this. Please....