Can anybody please clear my doubts regarding tax calculations involving home loan. Both I and my wife are salaried and we have taken joint home loan for an apartment our own use. This is under construction but is likely to be given to us within February 2013. We will have 50% ownership each and we are paying EMI equally starting August,2012. The TDS amount deducted from my salary is based on an estimate and now I am required to give details of entire income and tax deduction for FY 2012-2013. If amount of income tax deducted so far is less than what my calculation shows, excess tax will be charged as TDS for remaining months. My doubts:
First: I can estimate both home loan principal and interest repaid till march’13, but where is the tax deduction due to interest (u/s 24) reflected in form 16? The form shows only chapter VI-A (80C-80U) deductions.
Second: The registration and stamp duty amount is a part of home loan taken in our case. In this case will we be able to get tax benefit due to registration and stamp duty paid (80C)? I am confused since we are not using our saved money for this but bank’s money (taken as loan) here so probably we are not entitled to tax benefit. In case we are allowed the benefit, should I include this tentative amount in tax calculation since registration will be done in future (may be Jan/Feb, 2013) so I cannot claim at this moment. Is this correct?
CAclubindia
