India Forums  

Go Back   India Forums > Forum Index > Money > Income Tax


Income Tax Income tax questions, tips, strategies to save income tax. We focus on Income tax rules and regulations in India. Questions/Answers from NRIs about tax in their countries of residence are also discussed.

Welcome to India Forums from Digital Bhoomi!

You are currently viewing our forums as a guest. By joining our free community you will have access to post topics/threads, participate in Forum Contests (Win $50!), Earn Points, communicate privately with other members (PM), respond to polls, upload content and access many other great features. Registration is super fast, simple and absolutely free so please, join our community today!

If you have any problems with the registration process or your account login, please refer our Help section or Contact us. Please also read How to use this forum.
Thread Tools Display Modes
Old 24-05-12, 02:23 PM   #1
Posts: n/a
Default Income tax rebate on second home loan


I have a question for those who have insight into taxes.
I have a house purchased in distant place for which I pay EMI to a bank. I have claimed interest rebate of 1.5lc and principal rebate of 1lc in my previous year taxes. This house is currently lying vacant.

Recently I purchased a house in a city where I work, where my spouse is co-applicant on loan and also co-owner. We pay EMI on this house too and also we are currently residing in this house. EMI for this house is much bigger than the other one.

I know that although on second house I can't claim principal rebate; the interest is unlimited as long as I show the rental income.

My question is:
1. Is it ok to show the house is distant town as the residential property. And claim principal and interest on that house?
2. Show the current actual residential property as my second house and not claim any principal rebate on it but instead show the notional income and claim the benefit of unlimited interest in it?
3. Given that it's co-owned by my wife, do I have to keep a split in mind?
4. What is the best way to plan my taxes with this situation; if this is not correct way to claim my taxes?

Any help is much appreciated. Thanks for your help!
Report Post   Reply With Quote

Share this page with your friends

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
TAX REBATE ON HOME LOAN ONLY after possession Unregistered Income Tax 0 10-01-12 08:18 AM
Is there any rebate of E.M.I. & Interest given by income tax, for children seeyu Income Tax 0 03-01-12 10:52 PM
I took loan from GE Money India Home loan.? Xanthia Alysha Loans 1 19-01-10 11:20 PM

All times are GMT +5.5. The time now is 10:25 AM.

Powered by vBulletin®
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.