Hi
My husband and I have jointly taken a home loan. He pays 75 percent of the EMI. What will be our individual tax benefits? Total interest payble for the year will be 10 lkah. Can both of us are eligbile to ge the tax beenfit of 1.5 lakh
16 Replies
CA Sripal Jain
(Associate Finance)
(709 Points)
Replied 04 November 2011
YES BOTH ARE ELIGIBLE FOR INTEREST OF 1.5 LAKH
AS PER SECTION 26 ,WHERE PROPERTY IS OCCUPIED BY CO OWNERS,THEN EACH OF THE CO OWNER IS ENTITLED TO DEDUCTION OF INTEREST OF RS 150000 OR 30000 AS IN THE CASE OF SELF OCCUPIED
CA Sripal Jain
(Associate Finance)
(709 Points)
Replied 04 November 2011
ALSO ONE IS ELIGIBLE FOR HOUSING LOAN REPAYMENT UNDER SECTION 80 C REGARDING THE REPAYMENT OF LOAN
Benny Thadathil
(CDM)
(317 Points)
Replied 04 November 2011
Thanks a lot!
However the FAQ in income tax web site says differently, whcih is confused me.
94. My spouse and I are joint owners of a house constructed by availing housing loan separately. Are we both individually/separately entitled for deduction of the maximum interest payable of Rs.1.5 lakh?
No. The net taxable income from the property must be calculated first and then apportioned between the co-owners. In this process of calculation maximum interest payable of Rs.1.5 lakh can be considered only once.
CA Sripal Jain
(Associate Finance)
(709 Points)
Replied 04 November 2011
what is this ,im not able to understand the net taxable income wil be arrived after taking into account interest...wait for others opinion on this issue,as per act u cn avail it..
CA Sripal Jain
(Associate Finance)
(709 Points)
Replied 04 November 2011
hey the income tax website speaks about LET OUT PROPERTY, and im speaking about self occupied property....therefore if your property is self occupied eacho of them are eligible
Surendra Agarwal
(MANAGER FINANCE AND BUSINESS PLANNIN)
(289 Points)
Replied 04 November 2011
If share of all co-oweners are definate in house property as well as in loan than as per section 26 of income tax act all co oweners are eligible for relief under this act. .
Regards
CS CA(FINAL) surendra agarwal
Vikas
(Chartered Accountant)
(162 Points)
Replied 05 November 2011
Agree with surendra. Share of co owner should be identyfiable and definite. Each co owner can claim deduction of interest of Rs. 150000 or 30000, if it is self occupied.
Goyel P. Lotliker
(Tax Consultants)
(60 Points)
Replied 16 November 2011
Ok, if the housing loan interest is 2,00,000/- than how will it be shared between Husband & Wife while computation of Income from Self occupied house Property?
Gajanana Pai
(CA Final Student)
(38 Points)
Replied 16 November 2011
Yes U/s 26 of the I.T Act 1961,both are liable for claiming Interest on Self Occupied Property on Self Occupied .
Goyel P. Lotliker
(Tax Consultants)
(60 Points)
Replied 16 November 2011
But out of 2,00,000/- how much will each get?
Hemanth Sai
(CA-FINAL,AUDIT TRAINEE)
(110 Points)
Replied 16 November 2011
the deduction of Rs.1,50,000 interest will be availed by the co-owners as per thier ratio of share in the loan. amt.
Vikas
(Chartered Accountant)
(162 Points)
Replied 17 November 2011
Both can claim interest deduction in their sharing ratio upto maximum of 150000/- each.
Hemanth Sai
(CA-FINAL,AUDIT TRAINEE)
(110 Points)
Replied 17 November 2011
can they claim 1,50,000 each Vikas sir???
Vikas
(Chartered Accountant)
(162 Points)
Replied 17 November 2011
yes, but in their ratio. suppose interest is 3 lacks and ratio is 50-50 then both can claim 150000 each. but if ratio is 75-25 then the one with 75 percent share can claim 150000/- and other with 25 percent share can claim 25*300000=75000.
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