A loan has been taken by my brother and father where brother is applicant and father is co applicant for repair of house. It is a GRAHSHOBHA LOAN. The owner of property is my father.
My question is whether any deduction of Interest and principal is allowed for GRAHSHOBHA LOAN.
If yes,then who will take deduction? Father or Brother?
Further there is also Joint account in name of brother and father where primary holder is brother and secondary is father . in whose income tax file ,I need to show this account? Who can take deduction of Saving a/c ineterest?
and in whose balance sheet I need to show the GRAHSHOBHA LOAN ? where owner is my father
Thanks in advance
1 Answers
Hi,
Kindly note that to claim tax deductions on home loan, an individual(s) should be both a borrower/co-borrower and also owner/c-owner of the property.
If you have taken a home loan for renovation, repair or alteration of a residential property, you can claim deduction on the interest component under section 24(b). The deduction amount is capped at Rs.30,000 a year,
Related articles :
https://www.relakhs.com/joint-home-loan-eligibility-rules-income-tax-benefits/
https://www.relakhs.com/understanding-tax-implications-of-income-from-house-property/
https://www.relakhs.com/income-tax-exemptions-fy-2017-18-list/
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