I have taken house Loan of Rs 500000 during April'11 for purchase of new house and last year i paid around Rs 44,000 interest on it upto March'12.I shifted in the house during Dec'11 but the possession certficate was officially handed over in March'12.
For Income tax return shall i be eligible to claim of total interest or one fifth of it? Pls help.
21 July 2012
Dear Friend, since the amount of interest has been paid in the same financial year in which possession has been acquired. Then you can get benefit of whole amount of interest paid against the loan. You can claim Rs. 44000/- as interest paid on loan. Thanks
CAclubindia
