Urgent reply for home loan

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

20 November 2014 i am a govt servant and residing in govt staff quarter in lucknow. i have purchased a flat in lucknow and i have taken a home loan for purchasing that flat.i have paid 125000 as interest and 30000 as principal.

my query is
1)Do i have to pay tax on that flat treated as let out even it is not let out?
2)Whether i can treat it as self occupied because i am residing in govt quarter and i have only one flat in my name?
3) how can i avail tax deduction u/s 24b and 80c for that flat

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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20 November 2014 1. You no need to pay tax if the flat is vacant and not let out. this case you cannot claim interest u/s.24b & Principal u/s.80C

2. You cannot treat self occupied since you are staying in Government quarters in the same city

3.If you can actually let out the property and getting rental income then you can claim the rental income and claim the interest deduction & principal also. or treat as deemed to be letout and arrive the nominal rent or fair rent as per municipal authorities valuation and show the rent and you can claim the deductions

Querist : Anonymous

Querist : Anonymous (Querist)

21 November 2014 Is it possible to treat it as self occupied because this is the only flat in my name

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CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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21 November 2014 You cannot treat self occupied since you are staying in Government quarters in the same city