FLAVOUR OF THE MONTHbetween 01/04/2016 to
3 1/03/2017 by a financial
institution or a housing finance
company, then you can claim
an additional deduction of upto
Rs.50,000 under Section 80EE
towards interest payment of
the home loan, over and above
the limit of Rs.2 lakh under
Section 24 of the Income Tax
Act. This deduction will be
available till the time the
repayment of the loan
continues.
In all the above benefits, if
there's a co-owner in the
property, who is also part of the
joint home loan, then each of
the co-owner can claim these
deductions separately upto the
specified limits, which are for
per person and not per
property. For example, if the
actual interest paid is Rs.4 lakh
for a self-occupied property,
then Rs.2 lakh each can be
claimed by both the co-
owners.
In addition to these benefits,
the Central Government is
providing credit linked subsidy
scheme for first-time home
buyers in middle income group
of 6-18 lakh p.a. till March, 2020
u n d e r P r a d h a n
MantriAwasYojana (Urban)
scheme. The interest subsidy
ranges from 3-4% on home
loans upto Rs.12 lakh/Rs.9
lakh, which will amount to
around Rs.2.3-2.35 lakh.- Is there any tax implication on
house property?
While buying a property, there
could be GST which you would
have to bear when you buy
under-construction properties.
With respect to income tax,
there are no immediate
implications. As briefed above,
there are certain income tax
benefits available on
repayment of home loan
availed. The owner of the
property also has to pay
property tax every year, after
possession.
When you sell the property,
then the gains you earn will be
taxed as capital gains. If you
sell the property, which you
have held upto 24 months,