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house property

Priyal Dangi (4 Points)

12 June 2018

Can preconstruction interest be claimed even if the house property is sold within 1 month of its completion?

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2 Replies

Nikhil Bhanushali (CA Final) (142 Points)
Replied 12 June 2018

Yes 1/5th of the preconstruction is allowed as deduction which should not exceeds Rs.200000lac.This 1/5 will be allowed starting from the year in which house is purchased or construction is completed.In your Case you had sold your house property within 1 month so you can claim the preconstruction Interest which you had paid.