Multiple Home Loan & HRA benefit together. How ?

POSTED BY sakthi ON October 3, 2012 3:22 pm COMMENTS (2)


How do I get multiple home loan & HRA benefit together for my below said scenario?

Home Loan 1 : @ Madurai

Home loan amount : Rs 24.4 Lakh,     EMI : Rs 27000, 

Propoerty is at Madurai  (home town).

Expected rent this FY is = Rs20000 only.

Because the house will be ready to occupy by Nov-2012 only.

Sole Owner of the property & Loan applicant is Only me.

Home Loan 2 : @ Chennai

Home loan amount : Rs 24 Lakh,     Under construction ( Flat ).

It is being constructed in Chennai

Will be ready to occupy by : Jan 2014

Ist disbursement of loan : Rs 13.75 Lakh.

No Pre-emi.

Instead  I have availed Tranch based EMI option from HDFC.

I.e  I have started paying my Principal amount through EMI even before the full disbursement loan.

Mywife is the Co-owner  of this flat & she is the Co-applicant of this second Homeloan.

She is not working, hence she doesnot need Tax benefit. So I wish to avail the entire tax benefit from this 2nd loan.

HRA : @ Bangalore :

I am working at Bangalore hence staying in a rented house in Bangalore.

Rent : Rs 15500 per month. 

I am getting HRA allowance as : Rs 20291 per month.

Question :

  1. How do I get multiple home loan & HRA benefit together for my case?



2 replies on this article “Multiple Home Loan & HRA benefit together. How ?”

  1. sakthi says:

    Hi Biswa Singh,
    I think you are wrong.
    Interest paid through Pre-EMI also eligible & allowed for Tax deduction under section 24B.
    Afterall, these Pre-EMI also being paid out from Salary only, It should be considered.

    Below is my Income tax certificate I got it from HDFC, which states the same.

    ” 5.Interest payable on the loan ( including Pre-EMI Interest, if any )
    is allowed as a deduction under Section 24(b).”.


  2. Biswa Singh says:

    1st House – The rent amount earted will be deducted from the interest you are paying and on the rest interest you will get tax benifit.

    2nd House – I think tranch EMI (fancy name given by HDFC) and pre-emi both are same. I have taken SBI home loan where with pre-emi option where i pay both pricipal and interest. You can not get any tax benifit now. Until the possession of the house you can not get any tax benifit. After possession for the initial five years you can avail the tax benifit.

    Bangalore House – You can get the HRA benifit as usual.

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