Two Housing Loan - Tax Exemption

Hi Pankaj
I am Salaried Person leave in Joint Family (Present with Father's House)
At Present I have ONE Housing Loan in which Property Owner is my Father (I am not Joint Owner) who is Retire now and dependent on me, In this Loan I am Co-Applicant to Repayment the Loan & Full EMI Deducted from My Account via ECS
Now I Purchase Another House on Joint name i.e.
1) My Wife & 2) My Self - At Present My Wife is House Wife (Have PAN No.) but Property Document and Loan Document (both) are on the Joint Name.

Full EMI Deduction from My Saving Account via ECS
(In this New House - My self, My Wife & Kids will Shift then too I will pay EMI of My Father's Property) -- Here I will Pay TWO Housing Loan EMI from my Account My Question :

Should I get Deduction Principle + Interest- within specify Limit) for Both Housing Loan.
Request you to guide with Section Head and Limit..
Many Thanks in Advance for your always prompt support..

asked Mar 29 '13 at 12:19 by dipakvyas003 11

You can only show one property as self occupied and claim maximum 1.5 lakh interest exemption u/s 24 for same. Income tax deduction would be also available u/s 80C for principal payment on this house.

Second property would be "Deemed to be let out". On this property you will have to show notional rent and you can deduct whole interest paid from rental income only.

answered Apr 04 '13 at 01:41 by Pankaj Batra 5.2k320


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Asked: Mar 29 '13 at 12:19

Seen: 1,914 times

Last updated: Apr 04 '13 at 01:41