Section 24 & 80EE

Yes you can get relief under both the sections. But sec 80 EE has certain conditions to be fulfilled

The deduction allowed under this section is for interest paid on home loan up to maximum Rs 50,000 per financial year. You can claim this deduction until you have fully repaid the loan.This deduction is over and above the Rs 2 lakhs limit under section 24 of the income tax act. For claimimg benerfit U/S 80EE one should satisfy following condition:

1. To claim this deduction loan must have been taken from a financial institution for purchasing your first residential house property.

2. Value of this house is Rs 50 lakhs or less

3. Loan taken for this house is Rs 35 lakhs or less

4. Loan has been sanctioned by a Financial Institution or a Housing Finance Company

5. Loan has been sanctioned between 01.04.2016 to 31.03.2017

6. As on the date of sanction of loan no other house is owned by you

If you are able to satisfy conditions of both Section 24 and Section 80EE, both the benefits shall apply to you. First exhaust your limit under section 24 and then go on to claim the additional benefit under section 80EE

Hope this will clarify you the matter.

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Hi,

You can claim deduction under section 24 starting from the year in which you will get the possession. You can accumulate the interest paid before getting the possession and claim the same in 5 equal installments starting from the year in which you get the possession.

I will get back to you with respect to section 80EE.

Please feel free to call/ revert in case of any doubts

Thanks and Regards

Abhishek Dugar

CA CS B.Com

.

Hello,

You cannot claim benefit u/s 24 unless you have received possession of the property. Interest paid till the date of possession shall be accumulated and credit of which shall be given to you for the next 5 years from the date of possession.

To help you with Sec 80EE, I shall need details such as Value of your property, Amount of Loan, Date of Loan Sanction, how many house properties do you own as on date when you bought/ booked this property.

Trust this clarifies your query.

Feel free to call / get back in case of further clarifications.

Thanking You.

Regards,

Rohit R Sharma

BCOM, ACA, LLB-GEN, CERT. FAFP