Section 24 Income from House property

This query is : Resolved

Gurpreet Kaur (Querist)
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21 July 2009 Hi,

Pls. clarify if interest is paid by A (husband) and property is in the name of B (wife) can deduction u/s 24 of Rs. 150000 be claimed by A (husband) because he is paying the interest. Both A and B are the borrowers in the loan agreement and can both claim the deduction.

Abhishek Mohta

Abhishek Mohta (Expert)
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21 July 2009 First point is that to claim the benefit of Section 24 the assessee should own the property. So in this case A cannot claim any deduction U/s 24 as he does not own the property.

Whereas in case of his wife B in sec 24 it is not mentioned that who is suppose to pay the interest amount. it is mentioned that the assessee shoudl take a fresh loan which is utlised for purchase or construction or repsir of the house property. As B is also one of the borrower in the loan agreement assuming it to be a fresh loan can claim deduction of Rs. 150000/- u/s 24.