Home loan 24B benefit

POSTED BY kiranbmarathe ON September 7, 2012 8:20 pm ONE COMMENT

I have purchased under contruction flat with loan and I will get the possession by Dec 2012. My EMI is already started from April 2012.
My question is, Will the 80C and 24B benifit calculated after date of possession or I can clame the benifits for entire FY(ie from April 2012) and within same FY 2012-13. ie can I clame the 80C and 24B benifit for the current year.

I come to know from other source that I cannot clame benefit on the Interest that has been paid before possession within same FY. I will have to claim the interest benefit in 5 equal installments starting from the FY in which the construction of the house ends and I get its possession. Is it true?

One reply on this article “Home loan 24B benefit”

  1. Dear Kiranbmarathe, The moment you started your EMIs, the 80C benefit is available to you. Possession of house is not a precondition for 80C benefit.

    For interest benefit under section 24(b), possession is a pre condition. But interestingly in a given FY, you can claim full FY’s interest even if your possession is done on 31st march of that FY.

    So in your given case, even though you ‘ll get the possession in Dec 2012, full FY interest ‘ll be available for tax benefit within that over all limit of 1.5L Rs. for a self occupied property.



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