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Joint loan against commercial property

05 July 2022

joint loan against commercial shop (husband nd wife) what is tratement of principal nd interest amount can husband take full deduction full principal amount nd interest in business itr

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16 Replies

pavan prabhas (206 Points)
Replied 05 July 2022

Is the rental income shown separately in the individual ITR.

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ABHI KUMAR (710 Points)
Replied 05 July 2022

Sir unhone joint loan leke shop purchase kari hai abh loan ke principal aur interest ki husband apne itr m deduction le sakta h kya

Manish (CA) (1174 Points)
Replied 05 July 2022

First, it will be shown in "income from house property".

The husband can claim full deduction if the wife is not paying anything.

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CA. ANKIT PANDYA (CA) (682 Points)
Replied 05 July 2022

Since it is commercial property, question of showing it under house property does not arise as far as repayment of principal amount of loan is concerned.

@ Abhi Kumar, please specify in whose name the business is?

Interest payment is expense hence, it will be allowed as deduction from business income.

Further repayment of principal amount of loan of commercial property is not allowed as deduction in any section.

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ABHI KUMAR (710 Points)
Replied 05 July 2022

Ankita mam wife aur husband ne milkar ek shop purchase kari hai husband ka plywood ki shop hai jo purchase kari hai aur husband loan ka amount interest and principal khud pay karta hai apne current account se to kya husband pure interest ki deduction le sakte h kya ya fir wife ki interest deduction usko ni milegi nd wife ka payment bi ye kar ra h aur in future pura loan ye pay kar sakte h kya ya fir wife ki liability khadi hogi

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CA. ANKIT PANDYA (CA) (682 Points)
Replied 05 July 2022

Firstly, who is "Ankita MAM" in this trail..?

Husband can claim entire interest expense for his business.

Is wife also carrying on any business in the same premise. if No, there is no problem. Wife cannot claim separate interest deduction in her ITR for same property.

Also there is no problem even if husband is paying entire principal amount from his own money.

Regards

Ankit

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ABHI KUMAR (710 Points)
Replied 05 July 2022

Sorry sir vo jaldi jaldi m ankit ji ko ankita read ho gaya sorry nd kya puri interest deduction hum claim kar le ya half hi claim kare kyunki joint loan hai nd is joint loan ko husband pura pay kar sakta hai na kyuki husband pura repayment kar ra hai ya wife se leker hi payment karna hoga thanks in advance

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CA. ANKIT PANDYA (CA) (682 Points)
Replied 05 July 2022

Koi problem nahi hai. husband can pay it

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ABHI KUMAR (710 Points)
Replied 05 July 2022

Fir husband k fixed asset m property amount lya dikhu total value 90 lack h 45 lac or 90 lakh

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CA. ANKIT PANDYA (CA) (682 Points)
Replied 05 July 2022

Refer my precious questions. does wife is also carrying any business? does she want to claim deductions of the interest for same property in her ITR?, if no. then you can show entire in husband's name. there can be loan taken jointly and there can be co-owning of property . you can show percentage of ownership sharing between the two owners accordingly.

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ABHI KUMAR (710 Points)
Replied 05 July 2022

Many thanks sir

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