TAXATION ON HOUSE PROPERTY

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

05 February 2010 IF A PERSON IS RESIDING IN A STATE OWNS A HOUSE IN THAT STATE ,ALSO A HOUSE IN DIFFERENT STATE THEN CAN HE TAKE DEDUCTION OF INTEREST AND PRINCIPAL ON BOTH THE HOUSES ?????
OR HE CAN ONLY TAKE THE INTEREST DEDUCTION????

Rahul Gupta

Rahul Gupta (Expert)
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05 February 2010 A person can Claim Deduction on Principal Repayment and Interest paid for one house only, not affected by the location of the house.

So, interest deduction can be claimed under IFHP and principal repayment can also be claimed u/s 80C. However, it can be claimed only for ONE HOUSE, whereever it is located.