Go Ad-Free on CAclubindia with Daily Mobile Updates. Subscribe Now!

Sec.80 c & 24 (b)

15 July 2018

Interest on pre construction house shall be claimed for 5 yrs of completion.

1. That means continues 5 yrs?
2. This restriction of 5 yrs is for let out property or for self occupied?
3. How can claim pre construction principal, this s also for 5 yrs or even claim from pre construction period?

Reply
Follow
Share

3 Replies

Sumanth vinayakam (2 Points)
Replied 15 July 2018

which combination of cash and cheque is advisable to receive proceeds amounted to 35lks on sale of urban residential house??
please clarify

Upgrade to CAclubindia Pro. Subscribe Now!

Anjali P Nair (ACA,ACMA) (582 Points)
Replied 15 July 2018

1. Interest for pre-acquisition/pre-construction period shall be allowed as deduction in 5 equal installments starting from the previous year in which the house is acquired or the construction is completed and for the next 4 successive (continuous) previous years.

2. It is applicablein both let out and self occupied situations.

3. If you repay the principal during pre-construction period to lender, then this is not eligible for tax deductions.

Anjali P Nair (ACA,ACMA) (582 Points)
Replied 15 July 2018

Originally posted by : Sumanth vinayakam
	which combination of cash and cheque is advisable to receive proceeds amounted to 35lks on sale of urban residential house??please clarify