income tax rebate on home loan taken in 2013-14
8 months ago
Can I get an income tax rebate against home loan interest ?? I have taken a loan in 2013-14 and got possession by the supreme court receiver in 2022-23, till this financial year interest amount is more than 11 lacs.
A.Dear Client,
As per Sec.24(b) of the Income Tax Act, 1961, in respect of self-occupied residential house property, you can claim a tax deduction of up to Rs. 2 lakhs on the interest incurred on capital borrowed from the Bank/FI for the purpose of acquisition or construction of house property. The deduction shall be allowed if capital is borrowed on or after 01-04-1999 and acquisition or construction of house property is completed within 5 years. With effect from Assessment Year 2020-21, the deduction for interest paid or payable on borrowed capital shall be allowed in respect of two self-occupied house properties. However, the aggregate amount of deduction under this provision shall remain the same. You can claim a tax deduction on the principal repayment of a home loan up to Rs 1.5 lakh under Section 80C of the Act. A tax deduction can be claimed by the owner of the property. If a home loan is taken jointly (such as by a spouse), each borrower can claim a deduction on home loan interest in the ratio of their ownership and provided both are servicing the loan. In your case, when you avail of the loan in the year 2013 - 2014 and got possession of the house property by Courts Order in 2022-23 that crosses the acquisition limit of 05 years as prescribed u/s.24(b), you need to consult the matter with a CA as to whether your claim would be allowed in the current fiscal/AY or not.
As per Sec.24(b) of the Income Tax Act, 1961, in respect of self-occupied residential house property, you can claim a tax deduction of up to Rs. 2 lakhs on the interest incurred on capital borrowed from the Bank/FI for the purpose of acquisition or construction of house property. The deduction shall be allowed if capital is borrowed on or after 01-04-1999 and acquisition or construction of house property is completed within 5 years. With effect from Assessment Year 2020-21, the deduction for interest paid or payable on borrowed capital shall be allowed in respect of two self-occupied house properties. However, the aggregate amount of deduction under this provision shall remain the same. You can claim a tax deduction on the principal repayment of a home loan up to Rs 1.5 lakh under Section 80C of the Act. A tax deduction can be claimed by the owner of the property. If a home loan is taken jointly (such as by a spouse), each borrower can claim a deduction on home loan interest in the ratio of their ownership and provided both are servicing the loan. In your case, when you avail of the loan in the year 2013 - 2014 and got possession of the house property by Courts Order in 2022-23 that crosses the acquisition limit of 05 years as prescribed u/s.24(b), you need to consult the matter with a CA as to whether your claim would be allowed in the current fiscal/AY or not.
Helpful
Helpful
Share
A.Dear client,
You can avail deduction on the interest paid on your home loan under section 24(b) of the Income Tax Act. For a self-occupied house, the maximum tax deduction of Rs. 2 lakh can be claimed from your gross income annually, provided the construction/ acquisition of the house is completed within 5 years.
You can avail deduction on the interest paid on your home loan under section 24(b) of the Income Tax Act. For a self-occupied house, the maximum tax deduction of Rs. 2 lakh can be claimed from your gross income annually, provided the construction/ acquisition of the house is completed within 5 years.
Helpful
Helpful
Share
Read Related Answers
Income Tax Refund
Dear Client,
There are certain criterias for getting your TDS, firstly your relationship status- if you are married then higher rate may be deducted, additionally if you have overpaid other taxes or...
Joint buyers in under construction property, help with 26QB
Dear Client,
TDS is applicable on the purchase of immovable property wherein the sale consideration of the property exceeds or is equal to ₹ 50,00,000 (Rupees Fifty Lakhs). TDS @ 1% should be deducted...
Amount paid to a friend as drawings from a Propritory Business Concern
Dear Client,
A business account in a Bank typically known as a Current account is a kind of bank account maintained by businessmen, corporations and trusts who have a large number of transactions. A...
IT returns
Dear Client,
An unintentional mistake in the IT Return may be rectified by filing a revised return. For better clarification and steps, you need to visit a Chartered Accountant or an I T Consultant to...
Regarding claim of TCS on Foreign Tour Package
Dear client,
The TCS charge would increase the amount you are paying for the total trip. Under the new regulations, a 5% TCS is applicable to foreign travel.
Please ensure that while filing your IT...
Read Blogs on Tax
Tax Lawyers
Find Lawyers by Location
