{"id":86,"date":"2015-05-02T13:06:37","date_gmt":"2015-05-02T13:06:37","guid":{"rendered":"http:\/\/carajput.com\/blog\/?p=86"},"modified":"2024-08-08T23:40:11","modified_gmt":"2024-08-08T18:10:11","slug":"income-tax-savings-through-house-property","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/","title":{"rendered":"Income Tax Savings through House Property"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69f4af7e78004\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69f4af7e78004\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#INCOME_TAX_SAVINGS_THROUGH_HOUSE_PROPERTY\" title=\"INCOME TAX SAVINGS THROUGH HOUSE PROPERTY\">INCOME TAX SAVINGS THROUGH HOUSE PROPERTY<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#Interest_Paid_towards_housing_loan\" title=\"Interest Paid towards housing loan:-\">Interest Paid towards housing loan:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#How_much_Interest_Deduction_allowed_Us_24b\" title=\"How much Interest Deduction allowed U\/s 24(b) :-\">How much Interest Deduction allowed U\/s 24(b) :-<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#In_case_of_self_occupied_house\" title=\"In case of self occupied house:-\">In case of self occupied house:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#In_case_of_Rental_Deemed_to_be_let_out_House_Property\" title=\"In case of Rental \/ Deemed to be let out House Property.\">In case of Rental \/ Deemed to be let out House Property.<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#Principle_Amount_paid_towards_Housing_Loan\" title=\"Principle Amount paid towards Housing Loan:-\">Principle Amount paid towards Housing Loan:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/carajput.com\/blog\/income-tax-savings-through-house-property\/#Stamp_Duty_and_Registration_Charges_for_a_home\" title=\"Stamp Duty and Registration Charges for a home:-\">Stamp Duty and Registration Charges for a home:-<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p style=\"text-align: justify;\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-1843\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/21-300x173.png\" alt=\"21\" width=\"829\" height=\"478\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/21-300x173.png 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/21-768x444.png 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/21.png 883w\" sizes=\"(max-width: 829px) 100vw, 829px\" \/><\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"INCOME_TAX_SAVINGS_THROUGH_HOUSE_PROPERTY\"><\/span><span style=\"color: #000080;\"><strong><span style=\"text-decoration: underline;\"><a style=\"color: #000080; text-decoration: underline;\" href=\"https:\/\/www.caindelhiindia.com\/blog\/implication-of-cash-transaction-under-income-tax-act\/\">INCOME TAX<\/a> SAVINGS THROUGH HOUSE PROPERTY<\/span><\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">Does your home, saving your income tax? Buying a house for self occupation can be biggest tax saving instrument. \u00a0It saves your income tax in two ways. \u00a0\u00a0You can save maximum Rs 75750 per year on your home.<\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #ff6600;\"><strong>Introduction:<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">There are two main benefits which are available under Income Tax Act, 1961 in relation to Purchase or Construction of House Property which are described as under:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Deduction of Interest on Capital borrowed for purchase or construction of House Property under Section 24 (b) of the<a href=\"https:\/\/carajput.com\/income-tax-services.php\"> Income Tax Act, 1961.<\/a> (Interest paid by house owner on housing loan)<\/li>\n<li>Principle amount paid towards Housing loan for purchase or construction of House Property under Section 80 C of the Income Tax Act, 1961.<\/li>\n<li>The amount stamp duty\/ Registration charges paid while acquiring a property will be allowed deduction U\/s 80C.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Interest_Paid_towards_housing_loan\"><\/span><span style=\"color: #ff6600;\"><strong>Interest Paid towards housing loan:-<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">The house property has been acquired, constructed, repaired, renewed or reconstructed with borrowed capital, the amount payable towards interest on borrowed capital is allowed as deduction under u\/s 24(b) of the Income-tax act.<\/p>\n<ul style=\"text-align: justify;\">\n<li>We have to note here Interest payable on borrowed capital is allowed (Interest paid is irreverent here).<\/li>\n<li>In case of under-construction property, Interest will aggregate from the date of borrowing till the end of the previous year prior to the previous year in which the house is completed and allowed in five successive financial years starting from the year in which the acquisition or construction was completed.<\/li>\n<li>In case Assesses is the owner of more than one residential property, he may exercise an option to treat any one of the houses to be self-occupied and the other houses will be deemed to be let out and the annual value of such house will be determined as per Section 23(1)(a) of the Income Tax Act, 1961.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"How_much_Interest_Deduction_allowed_Us_24b\"><\/span><span style=\"color: #ff6600;\"><strong>How much Interest Deduction allowed U\/s 24(b) :-<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-24780\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02.jpg\" alt=\"house property Deduction \" width=\"1080\" height=\"933\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02.jpg 1080w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02-300x259.jpg 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02-1024x885.jpg 1024w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02-768x663.jpg 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Secion-24photo_2023-06-23_00-12-02-800x691.jpg 800w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"In_case_of_self_occupied_house\"><\/span><span style=\"color: #ff6600;\"><strong>In case of self occupied house:-<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">(a)\u00a0\u00a0 In case property is acquired or constructed with capital borrowed on or after 01-04-1999 and such acquisition or construction is completed within 3 years of the end of the financial year in which the capital was borrowed:<\/p>\n<p style=\"text-align: justify;\">Minimum of Actual Interest payable or Rs 1, 50,000\/- .<\/p>\n<p style=\"text-align: justify;\">(b)\u00a0\u00a0 In case property is acquired or constructed with capital borrowed<\/p>\n<p style=\"text-align: justify;\">Minimum of Actual Interest payable or Rs 30,000\/- .<\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"In_case_of_Rental_Deemed_to_be_let_out_House_Property\"><\/span><span style=\"color: #ff6600;\"><strong>In case of Rental \/ Deemed to be let out House Property.<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">Interest payable on barrowed capital for the previous year is allowed as deduction under U\/s 24(b).<\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Principle_Amount_paid_towards_Housing_Loan\"><\/span><span style=\"color: #000080;\"><strong>Principle Amount paid towards Housing Loan:-<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">Any payment made for purchase or construction of a residential house property which is chargeable to tax under the head \u201cIncome from House Property\u201d towards any installment or part payment due to any Bank, Financial Institution, Company or Co-Operative Society towards the cost of the house property allotted to him is allowed as deduction U\/s 80 C of the <a href=\"https:\/\/carajput.com\/income-tax-services.php\">Income Tax Act, 1961<\/a> to the extent of Rs. 1,00,000 along with other Specified Investments mentioned under Section 80 C of the Income Tax Act, 1961.<\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Stamp_Duty_and_Registration_Charges_for_a_home\"><\/span><span style=\"color: #000080;\"><strong>Stamp Duty and Registration Charges for a home:-<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">The amount you pay as stamp duty or registration fee\u00a0when you buy a house\u00a0 can be claimed as deduction under section 80C in the year of purchase of the house.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-27181\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Small-Saving.jpg\" alt=\"Small Saving hit in budget 2024\" width=\"864\" height=\"1511\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Small-Saving.jpg 732w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Small-Saving-172x300.jpg 172w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2015\/05\/Small-Saving-586x1024.jpg 586w\" sizes=\"(max-width: 864px) 100vw, 864px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>INCOME TAX SAVINGS THROUGH HOUSE PROPERTY Does your home, saving your income tax? Buying a house for self occupation can be biggest tax saving instrument. \u00a0It saves your income tax in two ways. \u00a0\u00a0You can save maximum Rs 75750 per year on your home. Introduction: There are two main benefits which are available under Income &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[2643,2642,2641,2644],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/86"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=86"}],"version-history":[{"count":5,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/86\/revisions"}],"predecessor-version":[{"id":27182,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/86\/revisions\/27182"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=86"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=86"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=86"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}