08 February 2011
I would like advise for my following query :-
1. In case I purchase a resisdential plot, would i be able to claim interest exemption under Sec 24(b) and principal repayment under 80C
2. In case I build a house on it, then it is admissible, I know, but, if I build only 1 room from my own sources and the plot is under loan, would the exemption be admissible
08 February 2011
Deduction u/s 24(b) is applicable for self occupied property no matter how much area is covered by such property.
If you show this plot built with 1 room & mention this as self occupied property then you can claim the interest paid on home loan & also principal repayment u/s 80C.
CAclubindia
