What are the Tax Benefits for a Home Loan Borrower?

About This Presentation
Title:

What are the Tax Benefits for a Home Loan Borrower?

Description:

Acquiring a house is a judicious method for sparing assessment on the pay duty and this is the prime motivation behind why youthful home purchasers are advancing towards the land speculation. www.favista.com/blog/2018/03/21/tax-benefits-home-loan-borrower/ – PowerPoint PPT presentation

Number of Views:16

less

Transcript and Presenter's Notes

Title: What are the Tax Benefits for a Home Loan Borrower?


1
O
Q
Menu ?
What are the Tax Benefits for a Home Loan
Borrower? March 21,2018 Real Estate home
loan benefits, home loan exemption, home loan
rebate, home loan tax benefit, housing loan
interest exemption, housing loan tax benefit,
housing loan tax exemption, refinance home loan,
tax benefit on home loan 2018, tax exemption on
home loan ., tax saving on home loan m Srishti
Chandola
lh Like 0
Purchasing a home is a prudent way of saving tax
on the income tax and this is the prime reason
why young home buyers are moving ahead towards
the real estate investment. As the union Budget
2017 reintroduced section 80EE, the holding
period was lowered that delighted the home
buyers. But, provided a major jolt to the ones
who used to claim a loss on the let-out property
as the government restricted tax benefit up to 2
lakh rather than the complete amount. There are
various other advantages and claims that are at
times missed by the home buyers. Here are some of
them- Claim tax relief on interest paid during
the construction stage The home buyers can claim
the tax deduction on interest paid during the
construction of the house in 5 equal
installments. The home buyers, however, can make
the claim when receives the completion
certificate. So, once construction is completed,
the complete tax benefit would be annual interest
plus 1 /5th of the interest paid during the
construction period which is limited to Rs 2
lakh. Claim tax deduction on loan charges As per
the section 2 (28A), interest is certainly
defined as all the types of the service fees and
the charges paid with respect to any of the type
of loan. The home buyers can certainly claim a
tax break on the processing fees, prepayment
charges an well as another cost in relation to
the home loan under the interest column.
Tax benefit on missed EMI
2
A home buyer can actually claim the tax advantage
on interest component of the home loan even if
you have missed EMI. The payee should have a copy
of the interest certificate that is issued by the
lender that basically specifies the loan amount
as well as complete payable in a financial year.
The tax deduction, however, on the principal
component wont actually be functional here as it
depends on actual repayment. Principal repayment
benefit Though the holding time has somewhat been
shelved to 24 months for qualifying for the
long-term capital gains you certainly are
claiming the principal repayment advantage and if
you sold the property within 5 years of buying of
home or sanctioning of the home loan, the
advantage would get reversed. The complete
advantage would get added to yearly buyer
income. Tax breaks are for co-borrowers and
co-owners Being the co-owner is not just
sufficient to even when you are paying monthly
installments, you have to be the co-borrower in
the home loan to avail the tax deduction on the
interest as well as principal component.
Furthermore, if the property is owned by the
spouses, wife, and husband can avail the tax
deduction on similar loan. But, it is important
to have the name on the loan book to avail the
tax advantage as the coborrower.
Can Your Parking Space be Sold by the Developer?
Leave a Reply Your email address will not be
published. Required fields are marked Comment
Subscribe to our newsletter Want to be notified
when our article is published? Enter your email
address and name below to be the first to know.
Send
3
Facebook
Advantages of buying homes with Coldwell Banker
Favista 9 ih iocatuo mi ttNTwrtm
oocmurt
Twitter Timeline Tweets by _at_FavistaRealty Recent
Blogs What are the Tax Benefits for a Home Loan
Borrower? March 21,2018 Can Your Parking Space be
Sold by the Developer? March 19, 2018 What Will
You Choose- Gated community or Standalone
building? March 16, 2018 Changing Terms of
Selling Agreement March 14, 2018 Factors to Keep
in Mind while Buying a House March 12, 2018
Favista is a Real Estate Advisory Firm based in
Gurgaon, India. Favista believes in making every
property transaction experience simple and
successful. The aim is to bring transparency,
professionalism and simplicity to the complex
world of real estate. Favista takes pride in
keeping the needs and concerns of the customers
in highest regards. Favista Real Estate has been
founded by IIT IIM/INSEAD alumni with
experience in strategy consulting, internet
marketing, venture capital having been part of
companies such as McKinsey, Capital One,
PartyGaming and SSG Capital. Favista is a full
service brokerage helping buyers/investors buy,
sell, rent or lease property in India. Favista
offers best realty advice for Apartments and
Flats for sale in India, land/plots for sale, New
Residential Commercial Projects in India and
also assists selling properties at best rates.
Favista.com is the only Property Site in India
that lists 100 verified properties. Favista
currently operates in Gurgaon, Delhi-NCR, Noida,
Mumbai and Bangalore.Those intending to sell
property in India will also find this website
very useful owing to the extensive reach, high
brand recall and trustworthiness in the real
estate space. In order to make our customers
happy and for us to reach our goals, we follow
the key tenets of transparency and consistently
maintain integrity in everything that we do. With
this professional attitude, we are set to become
your preferred choice for all real estate
services in India.
ABOUT About Us Our Team Career Contact Us
Terms Privacy Policy Disclaimer Site Map
QUICK LINKS
Post Property FREE EMI Calculator
4
Blogs Compare Projects Download Mobile APP Sale
Property Rent Property CONTACT FAVISTA Toll Free
- 1800 2121 000 (ALL INDIA) Gu rgaon -
91-124-3378700 Noida - 91-120-4117463 Mumbai -
91-22-40142051 Email Sales - sales_at_favista.com
Email Enquiry - info_at_favista.com
Q Unit 235 to 240 2nd Floor, Vipul Trade
Center,Sohna Road Sector 48, Gurgaon, Haryana
122002.
ra e s s
1 Square meter 10.764 Square feet
Have More Questions? Do not hesitate to contact
us! Read our FAQ's or Leave a feedback for us to
contact you shortly.
2015 Favista Real Estate Pvt. Ltd., All Rights
Reserved.
Write a Comment
User Comments (0)