Hi Sreekanth,
Hope you're doing good.
I've a housing loan in Bangalore (self occupied flat), where I'm claiming 2L interest amount on IT. Now I've purchased another house (plot and building) back in my native village; this second house is in my and wife's name. Can I claim income tax benefits for this too? Earlier we could claim income-tax benefits for self-occupied and let out properties, now i heard that the maximum allowed amount is for 2nd house is 2L. Does this mean that I can claim 2L on my 1st house (self occupied) and another 2L for the second house?
The second one is under constructions, expected to be finished in couple of months, well within this financial year.
Thanks!
Jose
5 Answers
Dear Jose,
I am doing good, thank you!
Both home loans put together, you can claim maximum Rs 2 Lakh.
In case, your spouse is a co-owner and co-borrower on second property, she can claim up to Rs 2 lakh u/s 24.
Kindly go through below articles ;
https://www.relakhs.com/understanding-tax-implications-of-income-from-house-property/
https://www.relakhs.com/under-construction-house-how-to-claim-tax-deduction-on-home-loan-interest-payments/
Thank you for the quick answer.
So, in my case, I've nearly exhausted the 2L limit in my first housing loan itself.
Wife is a co-owner and co-borrower of the second one, so she can claim 2L on that right.
Suppose, if the total interest paid on second house is 2L only, can she claim the entire Rs 2 lakh u/s 24.? or should we calculate 50% (because I'm also co-owner of the second property) of the total interest outgo? Thanks!
So, in my case, I've nearly exhausted the 2L limit in my first housing loan itself.
Wife is a co-owner and co-borrower of the second one, so she can claim 2L on that right.
Suppose, if the total interest paid on second house is 2L only, can she claim the entire Rs 2 lakh u/s 24.? or should we calculate 50% (because I'm also co-owner of the second property) of the total interest outgo? Thanks!
Hi,
Ideally the ratio of tax benefits that can be claimed is based on the ratio of ownership share in the property!
So, if the total interest is say Rs 1 Lakh and if the ownership share is 50 : 50, she can claim up to Rs 50,000 as tax deduction.
I guess there is no ownership share mentioned anywhere!
In such case, can she claim the entire 1L interest for her?
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