I TAKE LOAN FROM BANK ON 01.06.07 (2007-08) FOR RESIDENCE HOUSE , RESIDENCE HOUSE COMPLETED ON 01.02.08 , WHICH AMOUNT I CLAIM FOR INTEREST ON HOUSEING LOAN ?
INTEREST FOR 2007-08 = 71600 PRINCIPLE AMT. FOR 2007-08 = 10000
CAN I 1- CLAIM INTEREST ON HOUSEING LOAN FOR 71600 IN FY 2007-08 OR 2- CLAIM INTEREST ON HOUSING LOAN 71600/5
23 October 2008
Whats mean of prier construction period . if i take a loan from bank on 01.04.07 & house properity constructed completly on 30.09.07. interest for 2007-08 71600/- interest for 2008-09 61600/-
what is the interest amt.for fy 2007-08
as i think INTEREST ON PRIER CONSTRUCTION PERIOD WILL BE 71600/-
23 October 2008
To be precise, both date of loan taken and occupation of house had taken place in one financial year. Hence, entire interest pertaining to pre-construction period can be claimed deduction in the same year. No need to claim in 5 annual instalments. In fact, I did this 4 years back and no query raised by dept.