Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Residential house property

Ankit Agarwal (Article) (204 Points)

01 January 2012

`What are the Tax implications in case of purchase of residential house property in the year of purchase????`

Reply
Follow
Share

3 Replies

Yogesh Bhandari (CA FINAL Student) (429 Points)
Replied 01 January 2012

No Tax implications in case of purchase of residential house property in the year of purchase. Tax implications in case of transfer of capital assets

Upgrade to CAclubindia Pro. Subscribe Now!

Nitesh Matta (Nothing) (198 Points)
Replied 02 January 2012

Agreed with Yogesh

Alok Siddapur (Consultant) (229 Points)
Replied 05 January 2012

If the House Property (HP) is your only HP and you are using Hp for your own residence then interest paid on loan taken for purchase of HP is allowable as deduction under sec 24 upto Rs.1.5L. Principal paid is allwowable as deduction under 80C.

If you already have HP and new HP is used for the purpose of yor own residence then any one of the HP of your choice shall be taxable on the basis of notional rent receivable if that property had been let out.